Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

Also, answer B) With a 10 year planning horizon, which is a better choice at MARR=12%? a) present worth of B1 b) present worth of

image text in transcribedimage text in transcribedAlso, answer B) With a 10 year planning horizon, which is a better choice at MARR=12%? a) present worth of B1 b) present worth of B2

B1 Salvage Value B2 Salvage Value Cash Flow - $29,000 - 1,800 - 1,800 - 1,800 - 1,800 - 1,800 14,500 12,000 10,000 9,000 8,500 Cash Flow - $13,000 - 2,100 - 2,100 - 2,100 6,500 4,500 2,500 The present worth for project B1 is $ -57.9 thousand. (Round to one decimal place.) The present worth for project B2 is $ - 196.2 thousand. (Round to one decimal place.) B1 Salvage Value B2 Salvage Value Cash Flow - $29,000 - 1,800 - 1,800 - 1,800 - 1,800 - 1,800 14,500 12,000 10,000 9,000 8,500 Cash Flow - $13,000 - 2,100 - 2,100 - 2,100 6,500 4,500 2,500 The present worth for project B1 is $ -57.9 thousand. (Round to one decimal place.) The present worth for project B2 is $ - 196.2 thousand. (Round to one decimal place.)

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image_2

Step: 3

blur-text-image_3

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

Totem Asset Group A Collection Of Market Essays June 2014 September 2018

Authors: Andrew C Strasman

1st Edition

0997987804, 978-0997987805

More Books

Students also viewed these Finance questions