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Answer clearly 12. In calculating the annual worth of an alternative over one life cycle, the value obtained is: a. The same value that would

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12. In calculating the annual worth of an alternative over one life cycle, the value obtained is: a. The same value that would be obtained if two or more life cycles were used to calculate the annual worth. b. The same value that would be obtained in calculating the annual worth of infinite service for the alternative. c, The same value that would be obtained if the present worth of one life cycle were annualized over the alternative's life cycle. d. All of the above. 13. If the project ROR values do not provide the same ranking of alternatives as do PW and AW analyses, then: a. We Conduct regular ROR. b. We conduct any horizon analysis. c. We conduct an incremental ROR. d. None of the above. 14. In comparing independent alternatives by the ROR method, you should select: a. The highest ROR among the alternatives after finding each one. b. The alternative with the largest Initial investment that has been incrementally justified. c. The alternative whose incremental ROR is the highest d. None of the above. 15. Mainly, "Engineering Economy" involves: a. Marketing, statistics, contingency plans, and advertisements. 5/7 b. Risk management, controls, and responses. c. Analyzing and foretelling future market. d. Estimating, evaluating, and formulating expected economic outcomes. 5

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