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Problem 1 (16 points) The cash flows given in table below are for two different alternatives Data $20,000 $80,000 Initial Cost Uniform Annual Benefits $6,000

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Problem 1 (16 points) The cash flows given in table below are for two different alternatives Data $20,000 $80,000 Initial Cost Uniform Annual Benefits $6,000 $10,000 Salvage Value Useful Life in years $5,000$20,000 4 a. What is the decision criteria? (2 pts) b. Choose the best alternative using a MARR of 10%. (10 pts) Remember to clearly show the cash flow diagram(s) and the necessary equivalent model(s). (4 pts)

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