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4. Consider the following mutually exclusive investment alternatives (MARR= 12%/year). Compare the alternatives based on PW. Which one is better? (20 points) Alternative A Alternative

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4. Consider the following mutually exclusive investment alternatives (MARR= 12%/year). Compare the alternatives based on PW. Which one is better? (20 points) Alternative A Alternative B First cost: 15.000.000$ First cost: 500$ Revenge: 800.000$/year starting from Outflows: 800.000$ in the year. the 3 year till the end of the life decreasing with 50.000$ each year till Salvage value: 50.0003 the end of the life Estimated Life: 4 years Salvage value: 50.000$ 4. Consider the following mutually exclusive investment alternatives (MARR= 12%/year). Compare the alternatives based on PW. Which one is better? (20 points) Alternative A Alternative B First cost: 15.000.000$ First cost: 500$ Revenge: 800.000$/year starting from Outflows: 800.000$ in the year. the 3 year till the end of the life decreasing with 50.000$ each year till Salvage value: 50.0003 the end of the life Estimated Life: 4 years Salvage value: 50.000$

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