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A firm is considering the following alternatives, as well as a fifth choice: do nothing. Each alternative has a 5-year useful life. 1 2 3

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A firm is considering the following alternatives, as well as a fifth choice: do nothing. Each alternative has a 5-year useful life. 1 2 3 4 Initial cost $100,000 $130,000 $200,000 $330,000 8- 21 Uniform annual 26,380 38,780 47,480 91,550 Rate of return 10% 15% 6% 12% (0) Construct a choice table for interest rates from 0% to 100%. (b) The firm's minimum attractive rate of return is 8%. Which alternative should be selected

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