See the attached file.
1. The EPA has ordered your oil refinery to process its waste liquids before discharging them into the local bay. You estimate that it will cost you $30,000 to satisfy this requirement this year. However by gradually making no cost adjustments in the refining process, you estimate you can reduce waste processing costs by 5% annually over the next 10 years, which is the remaining life-time of the refinery. On the other hand, an outside company has offered to process your waste for you every year for the next ten years at an annual fee of $15,000. If your company uses a 10% discount rate, which is preferred course of action?
The solution determines the present value of waste elimination for oil refinery.
Brazil and Bio-fuels
Information on Brazil and their use of bio-fuels.
? Pro's of bio-fuels
? How/if they changed over from dependence on oil to bio-fuels (has it been successful and if so how successful)
? the history; when, how, why Brazil made the decision to try bio-fuels
? History and policy of biodiesel in Brazil
? the affects on culture and economy of Brazil
? how this affects imports and exports of Brazil, including oil imports
? cost of oil vs cost of ethanol
? sugar ethanol vs corn ethanol
? who is investing in Brazil's biodiesel and sugar fields
? how this affects Brazil's economy, culture, and how it affects other countries
? the automobile technology and how Brazil changed cars from oil fuels to ethanol (bio-fuels)
? what other countries (Sweden) have followed in Brazils foot steps
? what is the US response to Brazil's bio-fuels
? what are the con's of bio-fuels