1. Use the following information to answer the questions below. (50 pts) Population of the...

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Finance

1. Use the following information to answer the questions below. (50 pts)

Population of the Community = 50,000 Waste Generation Rate = 4 lb/person/d Capacity of Rear Manually Loaded Waste Collection Trucks = 20 yd3 Specific Weight of Waste in Waste Collection Trucks = 525 lb/yd3 Time Required to Load Waste Collection Trucks = 2.4 hr/trip Current Number of Collection Trips Made/Truck/day = 2 Number of Waste Collection Trucks Owned by the City = 12 Operating Costs for Waste Collection Trucks = $35/hr Transfer Station Type Direct Load w/Compactor Producing 26 T bales Operating Costs for Tractor-Semitrailer for Bale Haul = $50/hr Capital cost of Transfer Station and Necessary Trailers + Trucks = $4.5 x 106 Single Transfer Truck + Trailer can haul two bales = 2 bales x 26 T/bale = 52 T/trip Waste picked up 6 d/wk; Transfer Station would be Operated 6 d/wk Discount Rate = 5% Return Period for Capital Investments = 15 years Fixed Cost of Transfer Station = Annualized Cost/Yearly Waste Generation Rate and has Units of $/T

  1. Show the Plot of Cost for Truck Transport versus the Cost for a Transfer Station and transfer of baled waste to a landfill.

  2. Indicate the Break Even Point.

  3. Identify the Round Trip Travel Distance to a Landfill beyond which a Transfer Station becomes Cost Effective.

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