3 LO Construction Co. is planning to purchase a new truck. Company uses MARR as 10% per year. Evaluate the following two alternatives by Present Worth Analysis using Least Common Multiple (LCM) technique. Select the PW value of Alternative A. First Cost, S Annual Income, S/year Annual Operating Cost, S/year Salvage Value, S Life, years a. -34530 b. 13580 c. -44875 d. -25740 e. 8795 -15000 2500 -5000 2000 3 B -13000 3000 -7000 1500 2

3 LO Construction Co. is planning to purchase a new truck. Company uses MARR as 10% per year. Evaluate the following two alternatives by Present Worth Analysis using Least Common Multiple (LCM) technique. Select the PW value of Alternative A. First Cost, S Annual Income, S/year Annual Operating Cost, S/year Salvage Value, S Life, years a. -34530 b. 13580 c. -44875 d. -25740 e. 8795 -15000 2500 -5000 2000 3 B -13000 3000 -7000 1500 2

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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