Electric- Gas- Solar- Powered Powered Powered First cost, $ -2500 -3500 -6000 Annual operating cost (AOC), $/year -900 - 700 -50 Salvage value, $ 200 350 100 Life, years 5 5 5
Electric- Gas- Solar- Powered Powered Powered First cost, $ -2500 -3500 -6000 Annual operating cost (AOC), $/year -900 - 700 -50 Salvage value, $ 200 350 100 Life, years 5 5 5
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
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Question
Perform a present worth analysis of equal-service machines that have the costs shown on the next page, if the MARR is 10% per year. Revenues for all three alternatives are expected to be the same.

Transcribed Image Text:Electric-
Gas-
Solar-
Powered
Powered
Powered
First cost, $
-2500
-3500
-6000
Annual operating cost (AOC), $/year
-900
- 700
-50
Salvage value, $
200
350
100
Life, years
5
5
5
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