annual net cash low, are summanzed below Server 1 Server 2 First cost, 272,091 200,000 50,000 year 1. plus 5000 per year for years 2, 3, and 4 (gradient) Net cash flow, S/year 35,000 70,000 maximum for years 5 on, even if the server is replaced Life, years 3 or 4 5 Case Study Exercises Use spreadsheet analysis to determine the following: 1. If the MARR -24%, which server should be selected? Use the PW or AW method to make the selection. For server 1 use 3 and 4 and for server 2 use 5 years. Note that you have to use LCM 2. Use incremental ROR analysis to decide between the servers at MARR -24%. annual net cash low, are summanzed below Server 1 Server 2 First cost, 272,091 200,000 50,000 year 1. plus 5000 per year for years 2, 3, and 4 (gradient) Net cash flow, S/year 35,000 70,000 maximum for years 5 on, even if the server is replaced Life, years 3 or 4 5 Case Study Exercises Use spreadsheet analysis to determine the following: 1. If the MARR -24%, which server should be selected? Use the PW or AW method to make the selection. For server 1 use 3 and 4 and for server 2 use 5 years. Note that you have to use LCM 2. Use incremental ROR analysis to decide between the servers at MARR -24%