Question: Consider three mutually exclusive alternatives. The MARR is 10%based on the payback period method, which alternative should be selected? Year X Y Z 0 -$100

  1. Consider three mutually exclusive alternatives. The MARR is 10%based on the payback period method, which alternative should be selected?

Year X Y Z

0 -$100 -$50 -$50

1 25 16 21

2 25 16 21

3 25 16 21

4 25 16 21

  1. Consider three mutually exclusive alternatives, each with a 20 year life span and no salvage value. The minimum attractive rate of return is 6%.

A B C

Initial Cost $4000 $8000 $10,000

Uniform Annual Benefit ($) 410 639 700

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