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solve questions with cash flow diagrams. both questions please 5. A project requires an investment of 20,000 dollars. The project will have a revenues of

solve questions with cash flow diagrams. image text in transcribed
both questions please

5. A project requires an investment of 20,000 dollars. The project will have a revenues of 1.000 dollars in each of the next 20 years. At the end of the life of the project, the equipment purchased for the project can be sold for a profit with salvage value of 2,000. The MARR is 14 percent. Compute the present worth of the project (15 points). 6. (4.62) Dwayne has four independent vendor proposals to contract the nationwide oil recycling services for the Ford Corporation manufacturing plants. All combinations are acceptable, except that vendors B and C cannot both be chosen. Revenue sharing of recycled oil sales with Ford is a part of the requirement. Develop afl possible mutually exclusive bundles under the additional following restrictions and select the best projects. The corporate MARR is 10% per year. (15 points) a. A maximum of $4 million can be spent. b. A larger budget of $5.5 million is allowed, but no more than two vendors can be selected. c. There is no limit on spending. Initial Life, Annual Net Vendor Investment, S Years Revenue, S per Year B c D 1.5 million 3.0 million 1.8 million 20 niillion 8 10 360.000 600.000 620.000 630.000

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