Consider four mutually exclusive alternatives
A B C D
Initial Cost $400.0 $100.0 $200.0 $500.0
Uniform Annual Benefit $100.90 $27.70 $46.20 $125.20
Each alternative has a five-year useful life and no salvage value. If the MARR is 6%, which alternative should be selected?
Consider four mutually exclusive alternatives
A B C D
Initial Cost $400.0 $100.0 $200.0 $500.0
Uniform Annual Benefit $100.90 $27.70 $46.20 $125.20
Each alternative has a five-year useful life and no salvage value. If the MARR is 6%, which alternative should be selected?
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Consider the following two mutually exclusive alternatives. Each alternative has a 10-year useful life and no salvage value. If the MARR is 10%, which alternative should be selected? Answer in terms of the incremental rate of return analysis.
| Cash flow | A | B |
| Initial cost | $6000 | $9000 |
| Annual benefit | $1000 | $1500 |
Ā
Consider the following two mutually exclusive alternatives. Each alternative has a 10-year useful life and no salvage value. If the interest rate is 10%, which alternative should be selected? Answer in terms of benefit-cost ratio analysis.Ā
| Cash flow | A | B |
| Initial cost | $6000 | $9000 |
| Annual benefit | $1000 | $1500 |
Ā
