Question: Q2. (60 points). Estimates for a proposed small public facility are as follows: Plan A 10000 KD Plan B 10140 KD 500 KD 310 KD
Q2. (60 points). Estimates for a proposed small public facility are as follows: Plan A 10000 KD Plan B 10140 KD 500 KD 310 KD Initial cost Annual Maintenance costs Market Value MARR Useful life 400 KD 18% 22 years 1550 KD 18% 24 years Evaluate the projects such that you can choose appropriately. Instructions: Use 2 digits in your calculations and reporting the answers. Do not write commas or apostrophes. Do not write $ (dollar sign) or any other symbol, just write the number. a. (15 points) Evaluation of project Bis = b. (15 points) If AW of project A is equal to 1346.06, which project should you choose? C. (15 points) Justify your answer in (b) d. (5 points) If useful life of the projects is equal, which method of evaluation should you use? e. (10 points) Explain how your choice to (b) will change if projects are profitable. Write your comments in your words
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