Question: use table factors and LCM method First Cost, $ Net Income, $ per year Salvage Value, $ Life, years Alternative A -20,000 3000 500 4
First Cost, $ Net Income, $ per year Salvage Value, $ Life, years Alternative A -20,000 3000 500 4 Alternative B -30,000 1 ooo 700 8 Alternative C -1 oo,ooo 4000 1. 2. Compare the alternatives using capitalized cost using an interest rate of 8% per year. Compare Alternative A and Alternative B using Present Worth Analysis at an interest rate of 8% per year.
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