James and lee's Economics of water resources planning PDF

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It will be abbreviated by (P/F,i%,N). The factor is the inverse of the previous factor, or P. ( -p' t%, 1 2 N) = (1 +1 i)N P (2-4) =F Standardized notation for discounting formulas has been suggested by the Ad Hoc Committee for Study of Standardization of Engineering Economy Notation. Eng. Economist, V'll. 12 (Summer, 1967), pp. 253-263. Committee recommendations are followed for the most part in the subsequent development. The alternative mnemonic notation has been widely used, but it creates a group of ratber artificial symbols which make it more difficult to learn and follow.

When the present worth of a gradient series that decreases in value from year to year is needed, it may be determined by subtracting a uniformly increasing gradient series from a uniform annual series in the manner shown in Ex. 2-1. MATHEMATICS OF ECONOMIC ANALYSIS 23 EXAMPLE 2-1 An individual invested the following amounts of money at 4 percent interest. How much would he have at the end of year 25? Year Investment 1 2 3 4 5 6 7 5 10 15 20 25 30 35 Year Investment Year Investment 8 9 40 45 50 45 40 35 30 15 16 17 18 19 20--25 25 20 15 10 5 0 10 11 12 13 14 The present worth of the pyramid-shaped series can be found by subdividing it into three portions to which factors from the tables can be directly applied.

If sets of mutually exclusive alternatives are involved, proceed to Rule 4. RULE 4 Choose the alternative in a set of mutually exclusive alternatives, having the greatest net annual benefit. 05828 $ 2,500,000 2,491,200 8,800 $ 2,500,000 2,249,000 251,000 (A/P,5%,40) Annual benefits Annual cost Net annual worth 34 ENGINEERING ECONOMY 5 If the alternatives in the set of mutually exclusive alternatives have benefits which cannot be quantified but are approximately equal, choose the alternative having the least annual cost.

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Economics of water resources planning by James and lee

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