There is five alternatives for improvement of a road. Determine which alternative should be chosen if the highway department is willing to invest money as long as there is a B/C ratio of at least 1.00. Alternatives Annual Benefits Annual Cost A P900, 000 P1, 000,000 B P1, 300,000 P1, 400,000 P2, 800,000 P2, 100,000 D P3, 300,000 P2, 700,000 E P4, 200,000 P3, 400,000 Ans: Alternative E is referred.

There is five alternatives for improvement of a road. Determine which alternative should be chosen if the highway department is willing to invest money as long as there is a B/C ratio of at least 1.00. Alternatives Annual Benefits Annual Cost A P900, 000 P1, 000,000 B P1, 300,000 P1, 400,000 P2, 800,000 P2, 100,000 D P3, 300,000 P2, 700,000 E P4, 200,000 P3, 400,000 Ans: Alternative E is referred.

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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