Five different methods can be used for recovering by-product heavy metals from a manufacturing site's liquid waste. The investment costs and incomes associated with each method are shown. Assuming all methods have a 10-year life and the company's MARR is 10% per year, determine which one method should be selected using ROR evaluation. method 1 method 2 method 3 method 4 method 5 first cost -15000 -18000 -25000 -35000 -52000 annual income 4000 5000 7000 9000 12000
Five different methods can be used for recovering by-product heavy metals from a manufacturing site's liquid waste. The investment costs and incomes associated with each method are shown. Assuming all methods have a 10-year life and the company's MARR is 10% per year, determine which one method should be selected using ROR evaluation. method 1 method 2 method 3 method 4 method 5 first cost -15000 -18000 -25000 -35000 -52000 annual income 4000 5000 7000 9000 12000
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
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Five different methods can be used for recovering by-product heavy metals from a manufacturing site's liquid waste. The investment costs and incomes associated with each method are shown. Assuming all methods have a 10-year life and the company's MARR is 10% per year, determine which one method should be selected using ROR evaluation.
| method 1 | method 2 | method 3 | method 4 | method 5 | |
| first cost | -15000 | -18000 | -25000 | -35000 | -52000 |
| annual income | 4000 | 5000 | 7000 | 9000 | 12000 |
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