Exercise 6.10: Three processes X, Y, and Z are under c onsideration by Megapros Manufacturing. They would like
to calculate the NPW over 24 years. Details for the three processes are as shown in the table below.
Inflation needs to be applied to the initial and yearly costs. Benefits keep increasing at 0.05 per year over
the previous year for all 24 years.
	PROCESS X	PROCESS Y	PROCESS Z
Initial Cost	$375,000	$629,500	$845,000
Life in years	4	6	8
Salvage as % of initial cost	0.14	0.12	0.1
Benefits for 1st year	$121,000	$163,000	$199,000
Costs for 1st year	$52,000	$99,000	$104,000
Inflation rate (for all costs)	0.03	p.y.
MARR	0.1	p.y.
Benefits increase	0.05	p.y.