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please dont use excel! fhank you! D-86 Alternative Uno has a first cost of $10,000 and annual expenses of $3000, whereas Alternative Dos has a
please dont use excel! fhank you!
D-86 Alternative Uno has a first cost of $10,000 and annual expenses of $3000, whereas Alternative Dos has a first cost of $35,000, annual expenses of $2000, and a recurring cost of $5000 every 10 years. If both alternatives have an infinite life, which of the following equations can be used to solve for the rate of return on the incremental investment? (a) 0 = -$25,000+ $1000/i - $5000(A/F, i, 10) (b) 0 = -$25,000+ $1000/i + $5000(A/P, 1, 10)/i (c) 0 = - $25,000+ $1000/i - $5000(A/F, 1, 10)/i. (d) 0 = +$25,000 - $1000/i + $5000(A/F,i,10) Step by Step Solution
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