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Question 1 2 pts You are trying to decide which 2 devices to install. The following are the details for the devices with a useful
Question 1 2 pts You are trying to decide which 2 devices to install. The following are the details for the devices with a useful life of 5 years. Your MARR is 10%. What is the Benefit Cost Ratio of Device 1?: Device 1 Device 2 Device 3 Initial Cost $110,000 $200,000 $150,000 Salvage Value $10,000 $30.000 $20,000 O&M Costs $5,000 $2,000 $6,000 Annual Benefits $35,000 $40,000 $35,00 Year 1, increasing $5,000 each subsequent year Question 2 2 pts Based on information from Question 1, what is the benefit - cost ratio for Device 2? Question 3 2 pts Based on Question 1, what is the benefit - cost ratio for Device 3? Question 4 2 pts Based on the results of Question 1,2, & 3, what is the incremental benefit-cost ratio of the best alternatives? Question 5 1 pts Which Device is the best alternative? 0 1 03 O2 O None Question 6 O pts Bonus Answer: Incremental Rate of Return. Enter whole number for percentage. Example 2.8% is your answer then you would enter 2.8 or -2.8% would be -2.8. 1 decimal place. Worth 2 points. Question 1 2 pts You are trying to decide which 2 devices to install. The following are the details for the devices with a useful life of 5 years. Your MARR is 10%. What is the Benefit Cost Ratio of Device 1?: Device 1 Device 2 Device 3 Initial Cost $110,000 $200,000 $150,000 Salvage Value $10,000 $30.000 $20,000 O&M Costs $5,000 $2,000 $6,000 Annual Benefits $35,000 $40,000 $35,00 Year 1, increasing $5,000 each subsequent year Question 2 2 pts Based on information from Question 1, what is the benefit - cost ratio for Device 2? Question 3 2 pts Based on Question 1, what is the benefit - cost ratio for Device 3? Question 4 2 pts Based on the results of Question 1,2, & 3, what is the incremental benefit-cost ratio of the best alternatives? Question 5 1 pts Which Device is the best alternative? 0 1 03 O2 O None Question 6 O pts Bonus Answer: Incremental Rate of Return. Enter whole number for percentage. Example 2.8% is your answer then you would enter 2.8 or -2.8% would be -2.8. 1 decimal place. Worth 2 points
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