Final answer:
The total equipment cost for the diesel fuel desulfurization system, after separating direct and indirect costs based on delivered equipment cost with given factors, is approximately $1.31 million.
Step-by-step explanation:
To calculate the total equipment cost for the diesel fuel desulfurization system, one must separate the total estimated cost into direct and indirect costs, which are based on the delivered equipment cost.
The direct cost factor is 1.35, and the indirect cost factor is 0.41. Both factors are applied to the delivered equipment cost, not the total system cost. If T represents the delivered equipment cost, then the total cost (C) is given by:
C = T × (direct cost factor + indirect cost factor) = T × (1.35 + 0.41).
The problem statement gives the total cost as $2.3 million, so:
$2.3 million = T × (1.35 + 0.41).
Now, we solve for T:
T = $2.3 million / (1.35 + 0.41).
T = $2.3 million / 1.76.
T = $1,306,818.18 (approximately).
Therefore, the total equipment cost is approximately $1.31 million.