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Please show work for 2. Now assume that both of the assets (Cost Basis = Initial Cost) described in question 1 would be depreciated using

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Now assume that both of the assets (Cost Basis = Initial Cost) described in question 1 would be depreciated using MACRS GDS with a 5 year recovery period and the company's effective tax rate is 40%. Using an after-tax MARR of 9%, compare the alternatives based on the after-tax c flows (ATCFs) over 4 years for both alternatives assuming market values at the end of year 4 are $6000 for Investment A and $7500 for investment B (disregard the salvage values in question 1). A Midwestern industrial state is considering the construction and operation of facilities to provide electricity to several state-owned properties. Electricity will be provided via two coal-burning power plants and a distribution network wired to the properties targeted for conversion. A group studying the proposal has of identified the general cost and benefits for two competing design and these are listed below ($), The life both projects is 45 years and the MARR to be used is 8%. Determine which project (if either) should be selected based on incremental benefit-cost ratioList and explain two of the difficulties economic analysis of public projects. Now assume that both of the assets (Cost Basis = Initial Cost) described in question 1 would be depreciated using MACRS GDS with a 5 year recovery period and the company's effective tax rate is 40%. Using an after-tax MARR of 9%, compare the alternatives based on the after-tax c flows (ATCFs) over 4 years for both alternatives assuming market values at the end of year 4 are $6000 for Investment A and $7500 for investment B (disregard the salvage values in question 1). A Midwestern industrial state is considering the construction and operation of facilities to provide electricity to several state-owned properties. Electricity will be provided via two coal-burning power plants and a distribution network wired to the properties targeted for conversion. A group studying the proposal has of identified the general cost and benefits for two competing design and these are listed below ($), The life both projects is 45 years and the MARR to be used is 8%. Determine which project (if either) should be selected based on incremental benefit-cost ratioList and explain two of the difficulties economic analysis of public projects

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