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2. Your cat's summer kitty-cottage needs a new roof. You are considering the following two proposals and feel a 15-year analysis period is in line
2. Your cat's summer kitty-cottage needs a new roof. You are considering the following two proposals and feel a 15-year analysis period is in line with your cat's remaining lives. (There is no salvage value for old roofs.) Construct a choice table for interest rates from 0% to 100%. Which roof should you choose if your MARR is 12%? What is the actual value of the IRR on the incremental cost? a. b. Item ial esi Annual Upkeep (Expenses) Useful Life, in years Thatch $20 5 3 Slate $40 2 5 2. Your cat's summer kitty-cottage needs a new roof. You are considering the following two proposals and feel a 15-year analysis period is in line with your cat's remaining lives. (There is no salvage value for old roofs.) Construct a choice table for interest rates from 0% to 100%. Which roof should you choose if your MARR is 12%? What is the actual value of the IRR on the incremental cost? a. b. Item ial esi Annual Upkeep (Expenses) Useful Life, in years Thatch $20 5 3 Slate $40 2 5
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