Two design alternatives (X and Y) are being considered for a new ride at the Disney Theme
Fantastic news! We've Found the answer you've been seeking!
Question:
Two design alternatives (X and Y) are being considered for a new ride at the Disney Theme park. Alternative X requires a $400,000 investment and will produce net annual revenue of $43708 every year. Alternative Y requires a $ 480,000 investment and produces 1st year revenue of $ 43708; thereafter revenue decreases by $3,000 every year.
a)Based on a 6% MARR, which design alternative (X or Y) has the smallest Discounted Payback Period?
Related Book For
Engineering Economy
ISBN: 978-0133439274
16th edition
Authors: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
Posted Date: