Question 2 Compute the Equivalent Annual Worth of this alternative. The annual interest rate is 8%. The life of this alternative is 4 years. First cost: $93,000 Annual cost: $7,000 Annual income: $19,000 Salvage value: $11,000 O a. EAW = $617 O b. EAW = -$13,636 OC. EAW = $3,148 O d. EAW = $6,158

Question 2 Compute the Equivalent Annual Worth of this alternative. The annual interest rate is 8%. The life of this alternative is 4 years. First cost: $93,000 Annual cost: $7,000 Annual income: $19,000 Salvage value: $11,000 O a. EAW = $617 O b. EAW = -$13,636 OC. EAW = $3,148 O d. EAW = $6,158

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question 2
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Compute the Equivalent Annual Worth of this alternative. The annual interest rate is 8%. The life of this alternative is 4 years.
First cost: $93,000
Annual cost: $7,000
Annual income: $19,000
Salvage value: $11,000
esc
O a. EAW = $617
Ob. EAW=-$13,636
OC. EAW = $3,148
O d. EAW = $6,158
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