Use the equivalent uniform annual cost of the investment (EUAC), justify which of the following alternatives is superior over 30 years period if the interest rate is 7% ? Alternative A Alternative B Туре Bricks Wood Life 30 years 10 years Initial cost RM 1800 RM 450 Maintenance RM 5/year RM 20/year
Use the equivalent uniform annual cost of the investment (EUAC), justify which of the following alternatives is superior over 30 years period if the interest rate is 7% ? Alternative A Alternative B Туре Bricks Wood Life 30 years 10 years Initial cost RM 1800 RM 450 Maintenance RM 5/year RM 20/year
Chapter1: Making Economics Decisions
Section: Chapter Questions
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Transcribed Image Text:Use the equivalent uniform annual cost of the investment (EUAC), justify which of the
following alternatives is superior over 30 years period if the interest rate is 7% ?
Alternative A
Alternative B
Туре
Bricks
Wood
Life
30 years
10 years
Initial cost
RM 1800
RM 450
Maintenance
RM 5/year
RM 20/year
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