consider these two alternatives:

Alternative 1: capital investment: $4300, annual reveues: $1400, annual expenses: $420, Estimated Market Value: $850, Useful life: 7 years

Alternative 2: capital investment: $6100, annual revenues: $1800, annual expenses: $510, estimated market value: $1100, Useful life: 11 years

a. Suppose that the capital investment of Alternative 1 is known with certainty. By how much would the estimate of capital investment for Alternative 2 have to vary so that the initial decision based on these data would be reversed? the annual MARR is 15 percent per year.

b. Determine the life of Alternative 1 for which the AWs are equal.

Annual profit (p) is the product of total annual sales (s) and profit per unit sold (x); that is, P = x.s, it is desired to know the probability distribution of the random variable P. when x and s have the following assumed probability mask functions(x and s are independent). What are the mean, variance, and standard deviation of the probability distribution for annual profit