Determine which option, if any, should be chosen based on net present worth using a 8% interest rate. Use Repeatability Method.

a. The Net Present Worth of Alternative A is = $ Blank 1

b. The Net Present Worth of Alternative B is = $ Blank 2

c. Choose Alternative (Type only A or B) = Blank 3

Note: Show final answer in two decimal places and show complete solution

Transcribed Image Text:

Alternative A B First Cost (Investment Cost) $ 5,000 $10,200 Uniform Annual Benefit $ 1,100 $2,300 Useful Life 5 years 10 years Alternative A B First Cost (Investment Cost) $ 5,000 $10,200 Uniform Annual Benefit $ 1,100 $2,300 Useful Life 5 years 10 years

Answer rating: 100% (QA)

O Using the data provided 8 Alternative A aj Net present worth of 5000 1100 1100 1100 41100 1 008 ... View the full answer