A project with 10-year life requires an initial investment of $30000. The annual cost of the project is $6300 while the annual revenue is $17500. There will be an additional investment of $8000 in year 5. Assume that the salvage value at the end of usage life is $7500. At which MARR value, the project is economically viable? If necessary, you can choose more than one options. O a. 30% O b. 50% O c. 40% O d. 20%
A project with 10-year life requires an initial investment of $30000. The annual cost of the project is $6300 while the annual revenue is $17500. There will be an additional investment of $8000 in year 5. Assume that the salvage value at the end of usage life is $7500. At which MARR value, the project is economically viable? If necessary, you can choose more than one options. O a. 30% O b. 50% O c. 40% O d. 20%
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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