A steel company is trying to decide between two industrial type cranes. Crane A and Crane B are mutually exclusive, and the economics estimates for each are shown Crane A $15,000 $7,000 $4,000 5 Capital investment Annual expenses Salvage value Life, in years 6 F C 3 Crane B $35.000 $5,000 0 20 If the MARR is 15% 1-The present worth of the Crane A Capital investment and Annual expenses over 5 years is 2-The present worth of Crane B over 20 years is 5 # 3-The present worth of Crane A over 20 years is 5 4-The recommended alternative is & Moving to another question will save this response. 65,295.83 -39,765.3 -38,465.4 -14,085.8 Crane A 105,16.02 -53,104.2 -66,296.5 Crane B 28,0678 -114,336.1 -55,101.5 BLAGET
A steel company is trying to decide between two industrial type cranes. Crane A and Crane B are mutually exclusive, and the economics estimates for each are shown Crane A $15,000 $7,000 $4,000 5 Capital investment Annual expenses Salvage value Life, in years 6 F C 3 Crane B $35.000 $5,000 0 20 If the MARR is 15% 1-The present worth of the Crane A Capital investment and Annual expenses over 5 years is 2-The present worth of Crane B over 20 years is 5 # 3-The present worth of Crane A over 20 years is 5 4-The recommended alternative is & Moving to another question will save this response. 65,295.83 -39,765.3 -38,465.4 -14,085.8 Crane A 105,16.02 -53,104.2 -66,296.5 Crane B 28,0678 -114,336.1 -55,101.5 BLAGET
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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J 7

Transcribed Image Text:A steel company is trying to decide between two industrial type cranes. Crane A and Crane B are mutually exclusive, and the economics estimates for each are shown below
Crane A
$15,000
$7,000
$4,000
5
Capital investment
Annual expenses
Salvage value
Life, in years
P
4
F
@
6
Crane B
$35,000
$5,000
0
20
If the MARR is 15%
1-The present worth of the Crane A Capital investment and Annual expenses over 5 years is
2-The present worth of Crane B over 20 years is $
3-The present worth of Crane A over 20 years is S
4-The recommended alternative is
Moving to another question will save this response.
65,295.83
-39,765.3
-38,465.4
-14,085.8
Crane A
105,16.02
-53,104.2
-66,296.5
Crane B
28,0678
-114,336.1
-55,101.5
61,695.7
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