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engineering economocs Q3. b. Consider the following two alternatives: Alternative A Alternative B Investment ($) 17,500 25,000 Annual revenue ($/year) 9,500 12,500 Annual disbursements ($/year)

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engineering economocs

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Q3. b. Consider the following two alternatives: Alternative A Alternative B Investment ($) 17,500 25,000 Annual revenue ($/year) 9,500 12,500 Annual disbursements ($/year) 3,225 6,915 Useful life (years) 4 8 Net salvage value ($) Determine which alternative is better if the M.A.R.R. is 10%. (marks06)

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