The incremental cash flows for alternatives P and Q are shown. Determine which should be selected using

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The incremental cash flows for alternatives P and Q are shown. Determine which should be selected using a FW-based rate of return analysis. The MARR is 15% per year and alternative Q requires the larger initial investment.

Incremental Year Cash Flow (Q-P)

0 $250,000 1–8 50,000 8 30,000

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Basics Of Engineering Economy

ISBN: 9780073376356

2nd Edition

Authors: Leland T. Blank, Anthony Tarquin

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