6. E R materials cost index (MCI) had a value of 2708.51 in August 2010. In the

Question

6. E R materials cost index (MCI) had a value of 2708.51 in August 2010. In the same month the cost for cement was $96.55 per ton. If cement increased i price exactly in accordance with (4 Marks) Part 1-B: (10 Marks) the MCI, what was the cost of cement per ton in 1913 when the MCI index value was 100? Q7.0 A high-pressure stainless steel pump (1000 psi) with a variable-frequency drive (VFD) is installed in a seawater reverse-osmosis pilot plant that is recovering water from membrane concentrate at a rate of 4 gallons per minute (gpm). The cost of the pump was $13,000. Because of favorable results from the pilot study, the city utility wants to go with a full-scale system that will produce 500 gpm Determine the estimated cost of the larger pump, if the exponent in the cost-capacity equation has a value of 0.37. (6 Marks)

Explanation / Answer

Question 6

Material cost index in 2010 = 2708.51

Cost of cement in 2010 = $96.55 per ton

Material cost index in 1913 = 100

Calculate the cost of cement in 1913 -

Cost of cement in 1913 = Cost of cement in 2010 * (Material cost index in 1913/Material cost index in 2010)

Cost of cement in 1913 = $96.55 * (100/2708.51)

Cost of cement in 1913 = $96.55 * 0.03692 = $3.56

Thus,

The cost of cement in 1913 is $3.56 per ton.

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