Question: Compare the alternatives A and B shown in the table below on their Present Worth. Using an interest rate of 10%, which alternative is

Compare the alternatives A and B shown in the table below on

Compare the alternatives A and B shown in the table below on their Present Worth. Using an interest rate of 10%, which alternative is a better choice? [10 marks] Initial Cost (GHS) Uniform Annual Benefit (GHS) Market value (GHS) Expected life (years) Alternative A 8,000.00 300.00 700.00 2 Alternative B 25,000.00 400.00 3000.00 6 How much money do you need to invest every year for 12 years to have GHS 2,000, 000.00 at an interest rate of 10% per annum? 15 marks/

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