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An investment company is considering 6 different independent, divisible investments. The 6 investments are being considered over a 8 year horizon using a MARR of
An investment company is considering 6 different independent, divisible investments. The 6 investments are being considered over a 8 year horizon using a MARR of 15%. The initial investment cost, annual savings, and salvage values are given for each of the projects below: 1 2 3 4. 5 6 Initial investment $30,000 $35,000 $30,000 $15,000 $25,000 $23,000 Annual Returns $7,000 $11,000 $12,000 $5,300 $10,000 $10,000 Salvage Value $9,500 $22,000 $8.500 $3,000 $1,500 $1,000 The company's investment budget is $60,000. At what level should the company pursue each investment (expressed as a decimal between 0 and 1), and what will be its total present worth when it pursues these investments? Click here to access the TVM Factor Table calculator. level The company should pursue the 1st investment at level The company should pursue the 2nd investment at level The company should pursue the 3rd investment at level The company should pursue the 4th investment at level The company should pursue the 5th investment at level The company should pursue the 6th investment at Total PW = $ Carry all interim calculations to 5 decimal places and then round your final answers for the investment levels to 2 decimal places and your final answer for the total present worth to a whole number. The tolerance for the investment levels is +0.02 and the tolerance for the total present worth is 120. An investment company is considering 6 different independent, divisible investments. The 6 investments are being considered over a 8 year horizon using a MARR of 15%. The initial investment cost, annual savings, and salvage values are given for each of the projects below: 1 2 3 4. 5 6 Initial investment $30,000 $35,000 $30,000 $15,000 $25,000 $23,000 Annual Returns $7,000 $11,000 $12,000 $5,300 $10,000 $10,000 Salvage Value $9,500 $22,000 $8.500 $3,000 $1,500 $1,000 The company's investment budget is $60,000. At what level should the company pursue each investment (expressed as a decimal between 0 and 1), and what will be its total present worth when it pursues these investments? Click here to access the TVM Factor Table calculator. level The company should pursue the 1st investment at level The company should pursue the 2nd investment at level The company should pursue the 3rd investment at level The company should pursue the 4th investment at level The company should pursue the 5th investment at level The company should pursue the 6th investment at Total PW = $ Carry all interim calculations to 5 decimal places and then round your final answers for the investment levels to 2 decimal places and your final answer for the total present worth to a whole number. The tolerance for the investment levels is +0.02 and the tolerance for the total present worth is 120
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