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I am considering repiping my house to make my water more efficient. The initial cost of each alternative is given in the table below. After

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I am considering repiping my house to make my water more efficient. The initial cost of each alternative is given in the table below. After year zero, the savings (with regards to less usage) as well as appreciation on the value of my house are given. If | have an investment account that makes a 20% return, which- if any, is the preferred improvement to the house. Use present worth, future worth, annual equivalence as well as incremental analysis (IRR) to justify your answer. (Please write out all the equations you are using for the analysis, but calculations can be done with another technology). Year PEX Pipe Galvanize Copper d Pipe Pipe 0 -600 -640 -715 1 222 -80 165 2 250 352 366 3 262 340 360 4 270 340 350 5 270 340 350 6 220 340 284

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