Question: Problem 14.030: Compare alternatives by calculating their capitalized cost Compare the alternatives below on the basis of their capitalized costs with adjustments made for inflation.
Problem 14.030: Compare alternatives by calculating their capitalized cost Compare the alternatives below on the basis of their capitalized costs with adjustments made for inflation. Use i =10% per year and f= 4.7% per year. Alternative First cost, $ -15,000,000 -13,500,000 AOC. $ per year -25,000 -10,000 Salvage value, $ 105,000 82,000 Life, years The capitalized cost for alternative X is $ 15164798.94 The capitalized cost for alternative Y is $ 17775263.01 0 Select alternative X
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