Question: Use the CW method to determine which mutually exclusive bridge design (L or H) to recommend, based on the data provided in the accompanying table.


Use the CW method to determine which mutually exclusive bridge design (L or H) to recommend, based on the data provided in the accompanying table. The MARR is 14% per year. Bridge Design L Bridge Design H Capital investment Annual expenses Periodic upgrade cost $274,000 $12,000 $50,000 (every sixth year) $326,000 $9,500 $35,000 (every seventh year) Market value Useful life (years) 83 92
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