The best alternative to select under the pessimistic strategy is: (a) Alternative 1 (b) Alternative 2 (c)

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The best alternative to select under the pessimistic strategy is:

(a) Alternative 1

(b) Alternative 2

(d) Alternative 4

Four mutually exclusive alternatives are evaluated using three estimates or strategies (pessimistic, most likely, and optimistic) for several parameters. The resulting PW values over the LCM are determined as shown.

PW of Alternative, $ 4 Strategy Pessimistic (P) Most likely (ML) Optimistic (O) 3 4,500 -6,000 3,700 -1,900 5,000 6,000

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Engineering Economy

ISBN: 978-0073523439

8th edition

Authors: Leland T. Blank, Anthony Tarquin

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Question Posted: Dec 24, 2018 04:39 AM

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The best alternative to select under the pessimistic strategy is: (a) Alternative 1 (b) Alternative 2 (c)

Question:

PW of Alternative, $ 4 Strategy Pessimistic (P) Most likely (ML) Optimistic (O) 3 4,500 -6,000 3,700 -1,900 5,000 6,000 -500 -100 2,000 10,000 3,500 9,500

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Engineering Economy

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