Projects A and B have first costs of $6500 and $17,000, respectively. Project A has net annual benefits of $2000 during each year of its 5 -year useful life, atter which it can be replaced identically. Project B has net annual benefits of $3000 during each year of its 10 -year life. Use present worth analysis; and an interest rate of 10%, to determinethe present worth of the selected project. (Orly input the numeric value. Assume the answer will be in dollars. Example: If your calculated answer is "\$\$17,900, 23" then you only should input "17900 23" into blackboard.) (Hint The preferred alternative will have the largest positive present worth value.) "Remember, expenditures are negative cash flows incomes are positive cash flows. QUESTION 5 Two alternatives are being considered for recovering aluminum from garbage. Alternative 1 has a capital cost of $10,000 and a first-year maintenance cost of $12,000. with maintenanbe increasing by $500 per year for each year atter the first. Alternative 2 has a capital cost of $140,000 and a firstyear maintenance cost of $4000, with maintenance increasing by $1000 per year after the first. Revenues from the sale of alumnum are $20,000 in the first year, increasing $2000 per year for each year after the first. The life of both altematives is 10 years There is no: salvage value The betore-tax MARR is 4% Use Present worth analysis to determine the present worth value of preferred atemative. (Hint The prefred alternative will have the largest positive present worth yalue) (Hint: The profred alternative will have the largest positive present worth value) (Only input the numenc value. Assume the answer will be in dollars" Example. If your calculated answer is "-\$17, 900.23 " then you only should imput "-17900 23 into blackhoard) "Remember, expenditures are negiative cash flows, fivcomes are positive cash flows. Projects A and B have first costs of $6500 and $17,000, respectively. Project A has net annual benefits of $2000 during each year of its 5 -year useful life, atter which it can be replaced identically. Project B has net annual benefits of $3000 during each year of its 10 -year life. Use present worth analysis; and an interest rate of 10%, to determinethe present worth of the selected project. (Orly input the numeric value. Assume the answer will be in dollars. Example: If your calculated answer is "\$\$17,900, 23" then you only should input "17900 23" into blackboard.) (Hint The preferred alternative will have the largest positive present worth value.) "Remember, expenditures are negative cash flows incomes are positive cash flows. QUESTION 5 Two alternatives are being considered for recovering aluminum from garbage. Alternative 1 has a capital cost of $10,000 and a first-year maintenance cost of $12,000. with maintenanbe increasing by $500 per year for each year atter the first. Alternative 2 has a capital cost of $140,000 and a firstyear maintenance cost of $4000, with maintenance increasing by $1000 per year after the first. Revenues from the sale of alumnum are $20,000 in the first year, increasing $2000 per year for each year after the first. The life of both altematives is 10 years There is no: salvage value The betore-tax MARR is 4% Use Present worth analysis to determine the present worth value of preferred atemative. (Hint The prefred alternative will have the largest positive present worth yalue) (Hint: The profred alternative will have the largest positive present worth value) (Only input the numenc value. Assume the answer will be in dollars" Example. If your calculated answer is "-\$17, 900.23 " then you only should imput "-17900 23 into blackhoard) "Remember, expenditures are negiative cash flows, fivcomes are positive cash flows
