Question: PROBLEM 1 A and B are mutually exclusive alternatives with their cash flows shown in Table 1. Select the best alternative using a benefit/cost analysis

 PROBLEM 1 A and B are mutually exclusive alternatives with their

PROBLEM 1 A and B are mutually exclusive alternatives with their cash flows shown in Table 1. Select the best alternative using a benefit/cost analysis technique. Use interest rate, i = 10%. TABLE 1 Cash Flow for Alternative A, $ Revenue Cost 250,000 Year Cash Flow for Alternative B, $ Revenue Cost 270,000 3 20,000 5 6 80,000 80,000 80,000 80,000 90,000 90,000 90,000 90.000 20,000 90,000 90,000 90,000 90,000 80,000 80,000 80,000 80,000 - 30,000 - - - 30,000 8 20,000 10

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