The following s alternatives are being valuated by the incremental BC analyss BC Do- Nothing O So Alternative Instial Cost 10,000 30,000 18,000 117 144 24,000 1.38 16.000 113 13,000 1 08 Selected incremental BC ratios (for example A vs E could be A-E or E-A depending on cost) A vs E = 2.0 Fvs E=133 C vs F =2 40 Bvs D 0.33 A vs F 167 Bvs C=075 E vs D = 1 88 E vs C-400 C vs D=117 AsB=135 Bvs F-1 24 If the projects are mutually exciusive (using incremental analysis). the best alternative is:

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Chapter1: Combinatorial Analysis
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The following s alternativer are being evaluated bry the incremental BC analysis
Alternative
BCW Do
Nothing
O 80
Instial Cost
10,000
30,000
117
18,000
144
24,000
1.38
E
16.000
113
13,000
108
Selected incremental BC ratios (for example A vs E could be A-E or E-A depending on cost)
A vs E = 20
Bvs C=075
Bvs D=0.33
E vs D = 1 88
Fvs E=1.33
E vs C-4 00
C vs D=117
A vs F=167
AB=135
C vs F= 2 40
Bvs F=1 24
If the projects are mutually exclusive (using incremental analysis), the best alternative is:
Transcribed Image Text:The following s alternativer are being evaluated bry the incremental BC analysis Alternative BCW Do Nothing O 80 Instial Cost 10,000 30,000 117 18,000 144 24,000 1.38 E 16.000 113 13,000 108 Selected incremental BC ratios (for example A vs E could be A-E or E-A depending on cost) A vs E = 20 Bvs C=075 Bvs D=0.33 E vs D = 1 88 Fvs E=1.33 E vs C-4 00 C vs D=117 A vs F=167 AB=135 C vs F= 2 40 Bvs F=1 24 If the projects are mutually exclusive (using incremental analysis), the best alternative is:
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