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An integrated wireless network with a satellite link provides connectivity within a 10km radius. A cable operator is studying three bandwidth alternatives. Assume a life
An integrated wireless network with a satellite link provides connectivity within a 10km radius. A cable operator is studying three bandwidth alternatives. Assume a life of 20 years and a TMAR of 10% per year to determine the best option using the incremental rate of return approach.
Bandwidth Mbps | Initial cost $ x 1000 | Cost of operation $ x 1000 | annual income $ x 1000 |
44 | -40,000 | -2,000 | +5,000 |
55 | -46,000 | -1,000 | +5,000 |
88 | -61,000 | -500 | 8,000 |
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