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a. Suppose that the capital investment of Alternative 1 is known with certainty By how much would the estimate of capital investment for Alternative 2

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a. Suppose that the capital investment of Alternative 1 is known with certainty By how much would the estimate of capital investment for Alternative 2 have to vary so that the initial decision based on these data would be reversed? The annual MARR is 12% per year b. Determine the life of Alternative 1 for which the AWs are equal Click the icon to view the interest and annuity table for discrete compounding when the MARR is 12% per year a. The capital investment of Alternative 2 would have to be $ or less for the initial decision to be reversed. (Round to the nearest dollar.) \begin{tabular}{|c|c|c|c|c|c|c|} \hline & \multicolumn{2}{|c|}{ Single Payment } & \multicolumn{3}{|c|}{ Uniform Series } & \\ \hline & \begin{tabular}{l} Compound \\ Amount \\ Factor \\ \end{tabular} & \begin{tabular}{c} Present \\ Worth Factor \\ \end{tabular} & \begin{tabular}{l} Compound \\ Amount \\ Factor \\ \end{tabular} & \begin{tabular}{c} Present \\ Worth Factor \end{tabular} & \begin{tabular}{l} Sinking \\ Fund \\ Factor \\ \end{tabular} & \begin{tabular}{c} Capital \\ Recovery \\ Factor \end{tabular} \\ \hlineN & \begin{tabular}{l} To Find F \\ Given P \\ FIP \end{tabular} & \begin{tabular}{c} To Find P \\ Given F \\ PIF \\ \end{tabular} & \begin{tabular}{c} To Find F \\ Given A \\ FIA \end{tabular} & \begin{tabular}{l} To Find P \\ Given A \\ PIA \\ \end{tabular} & \begin{tabular}{c} To Find A \\ Given F \\ A/F \end{tabular} & \begin{tabular}{c} To Find A \\ Given P \\ AlP \end{tabular} \\ \hline 1 & 1.1200 & 0.8929 & 1.0000 & 0.8929 & 1.0000 & 1.1200 \\ \hline 2 & 1.2544 & 0.7972 & 2.1200 & 1.6901 & 0.4717 & 0.5917 \\ \hline 3 & 1.4049 & 0.7118 & 3.3744 & 2.4018 & 0.2963 & 0.4163 \\ \hline 4 & 1.5735 & 0.6355 & 4.7793 & 3.0373 & 0.2092 & 0.3292 \\ \hline 5 & 1.7623 & 0.5674 & 63528 & 3.6048 & 0.1574 & 0.2774 \\ \hline 6 & 1.9738 & 0.5066 & 8.1152 & 4.1114 & 0.1232 & 0.2432 \\ \hline 7 & 22107 & 0.4523 & 10.0890 & 4.5638 & 0.0991 & 0.2191 \\ \hline 8 & 2.4760 & 0.4039 & 12.2997 & 4.9676 & 0.0813 & 0.2013 \\ \hline 9 & 2.7731 & 0.3606 & 14.7757 & 5.3282 & 0.0677 & 0.1877 \\ \hline 10 & 3.1058 & 0.3220 & 17.5487 & 5.6502 & 0.0570 & 0.1770 \\ \hline 11 & 3.4785 & 0.2875 & 20.6546 & 5.9377 & 0.0484 & 0.1684 \\ \hline 12 & 38960 & 0.2567 & 24.1331 & 6.1944 & 0.0414 & 0.1614 \\ \hline 13 & 4.3635 & 0.2292 & 28.0291 & 6.4235 & 0.0357 & 0.1557 \\ \hline 14 & 4.8871 & 0.2046 & 32.3926 & 6.6282 & 0.0309 & 0.1509 \\ \hline 15 & 54736 & 0.1827 & 372797 & 6.8109 & 0.0268 & 0.1468 \\ \hline \end{tabular}

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