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PW of cost$13,500 pw of benefit-3000P/A, 7%, 51+50(P/G,7%, 5) -30004, 1001+ 5007647) = 12.300 + 3820-16, 120 B PW of benefit 16.120119 .PW0fcosts -500- the

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PW of cost$13,500 pw of benefit-3000P/A, 7%, 51+50(P/G,7%, 5) -30004, 1001+ 5007647) = 12.300 + 3820-16, 120 B PW of benefit 16.120119 .PW0fcosts -500- the benefit-cost ratio indlicates the wrong choice, Device A. Incremental must be used. EXA MPLE 9-4 (Examples 8-6 and 8-7 Revisited) Consider the five motually exclusive alternatives from Examples 8-6 and 8-7 plus an alternative, F. They have 20-year useful lives and no salvage value. If the mi rae ofreturn is 6%, which alernative should be selec Cost epartment: Equipment models X, P9) There are three alternatives for a public transportation maintenance d Investment costs, annual costs, and useful lifetimes are given below. Your organization plans to ment will be available operate the maintenance department for a long time. Similar versions of each equip in the future, with similar costs and characteristics. Which is the preferred alternative, based on lower costs? Be sure you indicate which criterion you are using for making decisions, Costs are positive, for convenience; we want to minimize costs. MARR-15% Model Investment cost Annual cost Salvage value Useful lifetime, Years 16,000 600 600 19,000 1,900 4,000 30,000 2,100 3,500 12 PIO) Consider the investment shown below. Determine the following for A and B

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