Question: please only provide answers for the boxes shown. Options for #1 are: D-C-B-A- Do nothing, Do nothing-A-B-C-D, A-B-C-D- Do nothing, Do nothing - D-C-B-A. options
Consider four mutually exclusive alternatives, each having an 8-year useful life: B D Fist cost 1168 890 780 530 Uniform Annual Benefit 125 120 100 125 Salvage value 750 500 250 0 o Solution: 1. Rank of alternatives: 2. Perform the IRR analysis, yields the following table FYI: B D C-D B-D A-D A-B ROR 7.24% 9.59% 5.94% 16.75% -10.00% 2.99% 2.04% 0.56% 3. According to the results above, we can construct the choice table between 0% and 100% as: (if no MARR is for a particular alt., use N/A in the blank.) Alt. A for MARR between % and % o Alt. B for MARR between % and % o Alt. C for MARR between % and % o Alt. D for MARR between % and % Do-nothing for MARR between % and %. 4. If MARR = 8%, then select alternative . Consider four mutually exclusive alternatives, each having an 8-year useful life: B D Fist cost 1168 890 780 530 Uniform Annual Benefit 125 120 100 125 Salvage value 750 500 250 0 o Solution: 1. Rank of alternatives: 2. Perform the IRR analysis, yields the following table FYI: B D C-D B-D A-D A-B ROR 7.24% 9.59% 5.94% 16.75% -10.00% 2.99% 2.04% 0.56% 3. According to the results above, we can construct the choice table between 0% and 100% as: (if no MARR is for a particular alt., use N/A in the blank.) Alt. A for MARR between % and % o Alt. B for MARR between % and % o Alt. C for MARR between % and % o Alt. D for MARR between % and % Do-nothing for MARR between % and %. 4. If MARR = 8%, then select alternative
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
