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1) Four mutually exclusive alternatives are being evaluated, and their costs and revenues are itemized in the table below. Mutually Exclusive Alternatives IV II III $220,000 Investment (first) cost Net annual receipts $100,000 $152,000 $184,000 $15,200 $31,900 $35,900 $41,500 less costs $20,000 Salvage value Useful life (years) $10,000 $O $15,000 10 10 10 10

1) Four mutually exclusive alternatives are being evaluated, and their costs and revenues are itemized in the table below. Mutually Exclusive Alternatives IV II III $220,000 Investment (first) cost Net annual receipts $100,000 $152,000 $184,000 $15,200 $31,900 $35,900 $41,500 less costs $20,000 Salvage value Useful life (years) $10,000 $O $15,000 10 10 10 10

ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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1) Four mutually exclusive alternatives are being evaluated, and their costs and revenues are itemized in the table below. Mutually Exclusive Alternatives IV II II Investment (first) cost Net annual receipts less costs Salvage value Useful life (years) $100,000 $152,000 $184,000 $220,000 $15,200 $31,900 $35,900 $41,500 $0 $15,000 $20,000 $10,000 10 10 10 10 k If the MARR is X% (please see the table for your value) use the PW method to đetermine which alternatives are economically acceptable and which one should be selected.
Transcribed Image Text:1) Four mutually exclusive alternatives are being evaluated, and their costs and revenues are itemized in the table below. Mutually Exclusive Alternatives IV II II Investment (first) cost Net annual receipts less costs Salvage value Useful life (years) $100,000 $152,000 $184,000 $220,000 $15,200 $31,900 $35,900 $41,500 $0 $15,000 $20,000 $10,000 10 10 10 10 k If the MARR is X% (please see the table for your value) use the PW method to đetermine which alternatives are economically acceptable and which one should be selected.
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