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A resort would like to ensure that it has vehicles to transport guests who have difficulty walking around its facilities. It is trying to decide

A resort would like to ensure that it has vehicles to transport guests who have difficulty walking around its facilities. It is trying to decide between two different vehicles: Model A or Model B. These options are mutually exclusive. The cash flow profiles for each of these alternatives are given below:
\table[[,Model A,Model B],[Initial Investment, $,8,600,20,000],[Annual Revenues, $,3,500,12,000],[Annual Costs, $,800,6,500],[Salvage Value, $,2,300,9,700]]
Assume a planning horizon of 5 years and a MARR of 9%. Compute the PW of each alternative, and determine which vehicle the resort should purchase.
Click here to access the TVM Factor Table calculator.
PW Model A =$
PW Model B =$
Carry all interim calculations to 5 decimal places and then round your final answers to two decimal places. The tolerance is +-10.
Which alternative would your company prefer?
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