Question
A home builder is considering the purchase of a new commercial bulldozer, either AK or BR. AK First cost, $ -6,700 -1,500 4,000 -16,900 -1,200
- A home builder is considering the purchase of a new commercial bulldozer, either AK or BR. AK First cost, $ -6,700 -1,500 4,000 -16,900 -1,200 Annual M&O costs, $ 1,000 3 BR 4,500 3,500 6 Annual benefits, $ Salvage value, $ Project Life, year
- (i) Construct a choice table for interest rates from 0% to 100%.
- (ii) If MARR is 8%, which alternative should be selected (use sensitivity analysis method)?
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Engineering Economy
Authors: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling
16th edition
133439275, 133439274, 9780133819014 , 978-0133439274
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