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Quiz 2: Select the best alternative plan from the table below using the Annual worth analysis (AW). (Draw the cash flow diagram) Plan First Cost

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Quiz 2: Select the best alternative plan from the table below using the Annual worth analysis (AW). (Draw the cash flow diagram) Plan First Cost (Present) Annual Operating cost (AOC) Other payments Salvage value Life time (years) i A - $ 800,000 - $(mn*1000) - $ 200,000 0 $ 26,400 8 4% B - $ 2,800,000 - $(mn*1000) - $ 16,000 - $ 23,000 Every 7 years 0 Infinity (forever) 4% C - $ 2,000,000 - $(mn*1000) - $ 12,000 0 0 31 4%

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