Two projects, A and B, are analyzed using ranking present worth analysis with MARR at (i %).
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Two projects, A and B, are analyzed using ranking present worth analysis with MARR at \(i \%\). It is found that \(\mathrm{PW}(\mathrm{A})>\mathrm{PW}(\mathrm{B})\). If \(M A R R\) is changed to \((i+1) \%\), what will be the relationship between \(\mathrm{PW}(\mathrm{A})\) and \(\mathrm{PW}(\mathrm{B})\) ?
a. \(\mathrm{PW}(\mathrm{A})>\mathrm{PW}(\mathrm{B})\)
b. \(\mathrm{PW}(\mathrm{A})=\mathrm{PW}(\mathrm{B})\)
c. \(\mathrm{PW}(\mathrm{A})<\mathrm{PW}(\mathrm{B})\)
d. Cannot be determined without the cash flow profiles
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Related Book For
Principles Of Engineering Economic Analysis
ISBN: 9781118163832
6th Edition
Authors: John A. White, Kenneth E. Case, David B. Pratt
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