Question: 4. Project 1 costs A initially, costs B every year, generates C benefits every year and D disbenefits every year with a life of


4. Project 1 costs A initially, costs B every year, generates C

4. Project 1 costs A initially, costs B every year, generates C benefits every year and D disbenefits every year with a life of 5 years. Project 2 costs E initially, cost F every year, generates G benefits every year and H disbenefits every year with a life of 6 years. Project 3 costs I initially, costs J every year, generates K benefits every year and L disbenefits every year with a life of 10 years. Use an annual rate of R to conduct Incremental B/C ratio analyses to select one of the alternatives. "Do Nothing" is not an option. Must show your procedures. R = 8.00% 120 C = 45 165 50 330 60 A= E= Final Selection B = F = 30 28 20 D= H= K= L= Have to Use Conventional B/C Ratio Analysis 8 10 13

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