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Consider the following mutually exclusive alternatives: Alternative A Alternative B Capital investment Net annual receipts $567,900 $115,700 $1,301,000 $253,900 Both alternatives have a useful life
Consider the following mutually exclusive alternatives:
| Alternative A | Alternative B |
Capital investment Net annual receipts | $567,900 $115,700 | $1,301,000 $253,900 |
Both alternatives have a useful life of 18 years and no market value at that time. The MARR is 18 % per year. Determine the annual worth (AW) of the most profitable course of action.
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