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The most possible values of an investment project are as follows: First cost, $ 300,000 Annual operating cost, $ 10,000 Annual benefit, $ 120,000 Salvage

The most possible values of an investment project are as follows:

First cost, $

300,000

Annual operating cost, $

10,000

Annual benefit, $

120,000

Salvage value, $

80,000

Life, year

30

MARR per year

15%

Consider the cash flow given;

  1. Calculate the payback period with time value.
  2. Calculate the B/C ratios based on both PW and AW.

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