Question: Consider A - E as five mutually exclusive alternatives: A B C D E Initial Cost $ 8 0 0 $ 8 0 0 $

Consider A - E as five mutually exclusive alternatives:
A B C D E
Initial Cost $800 $800 $800 $800 $800
Uniform annual benefits
First 6 years 125150100125150
Last 6 years 40801205050
The interest rate is 8%.
If all the alternatives have a 12-year useful life and no salvage value,
which alternative should be selected?
 Consider A - E as five mutually exclusive alternatives: A B

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