Consider the four independent projects outlined below. At 5% per year and a 15-year study period, (a)
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(a) Determine which projects are acceptable,
(b) The value of the annual M&O cost to make any non-acceptable project acceptable with a B/C ratio of at least 1.0.
Transcribed Image Text:
Project First cost, $ M&O, $/year Benefits, $/year Disbenefits, $/year M 61,000 38,000 87,000 64,000 99,000 42,000 49,000 38,000 74,000 110,000 160,000 52,000 26,000 21,000 32,000 14,000
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a Screen image 1 projects M and N are acceptable O and P are not ...View the full answer
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