Example

Compare the costs of two proposed projects below, assuming an interest rate of $12\%$ compounded annually $($Galway City Council plans to build a new bridge over the Corribe River$)$

$\backslash$table$[[,$Project A$,$Project B$],[$Initial cost $(),60,000,75,000],[$Annual maintenance cost $(),7\mathrm{.}000,3,500],[$Residual value $(),6,000,2,000],[$Project life $($years$),12,12]]$