7. Compare the alternatives shown below on the basis of a future worth analysis, using an interest rate of 8% per year. First cost. $ Annual operating cost, $ per year Salvage value, S Life, years Q -23.000 -30,000 -4,000 -2.500 3,000 1,000 3 6
7. Compare the alternatives shown below on the basis of a future worth analysis, using an interest rate of 8% per year. First cost. $ Annual operating cost, $ per year Salvage value, S Life, years Q -23.000 -30,000 -4,000 -2.500 3,000 1,000 3 6
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![7.
Compare the alternatives shown below on the
basis of a future worth analysis, using an interest
rate of 8% per year.
First cost, $
Annual operating cost. $ per year
Salvage value, $
Life, years
Q
-23.000-30,000
-4,000
3,000
3
-2.500
1,000
6](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F4d60af45-7273-40da-a0f9-7e8dfef3f538%2F01a66422-597b-41d9-b3fa-42b02579c487%2Fufuw9s8_processed.jpeg&w=3840&q=75)
Transcribed Image Text:7.
Compare the alternatives shown below on the
basis of a future worth analysis, using an interest
rate of 8% per year.
First cost, $
Annual operating cost. $ per year
Salvage value, $
Life, years
Q
-23.000-30,000
-4,000
3,000
3
-2.500
1,000
6
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