Given the two machines' data First Cost Salvage value Annual operation Annual maintenance Taxes and insurance Machine A P8,000.00 0 3.000.00 1,200.00 3% 10 ANSWER for ALTERNATIVE A: Blank 1 ANSWER for ALTERNATIVE B: Blank 2 Machine B P14,000.00 2.000.00 2.400.00 1.000.00 3% 15 Life, years Money is worth at least 16% Using equivalent uniform annual cost method, determine the value of alternative A and alternative B:

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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Given the two machines' data
First Cost
Salvage value
Annual operation
Annual maintenance
Taxes and insurance
Machine A
P8,000.00
0
3.000.00
1,200.00
3%
10
ANSWER for ALTERNATIVE A: Blank 1
ANSWER for ALTERNATIVE B: Blank 2
Machine B
P14,000.00
2.000.00
2.400.00
1.000.00
3%
15
Life, years
Money is worth at least 16%
Using equivalent uniform annual cost method, determine the value of alternative A and alternative B:
Transcribed Image Text:Given the two machines' data First Cost Salvage value Annual operation Annual maintenance Taxes and insurance Machine A P8,000.00 0 3.000.00 1,200.00 3% 10 ANSWER for ALTERNATIVE A: Blank 1 ANSWER for ALTERNATIVE B: Blank 2 Machine B P14,000.00 2.000.00 2.400.00 1.000.00 3% 15 Life, years Money is worth at least 16% Using equivalent uniform annual cost method, determine the value of alternative A and alternative B:
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