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Time Question 26 Not yet answered Marked out of 2.00 Scientific Instruments, Inc. uses a MARR of 8% per year. The company is evaluating a
Time Question 26 Not yet answered Marked out of 2.00 Scientific Instruments, Inc. uses a MARR of 8% per year. The company is evaluating a new process to reduce water effluents from manufacturing processes. The estimate associated with the process follows. New Process: First Cost, $ -40,000 Flag question NCF, $ per year 13,000 Salvage value, $ 5000 Life, years 3 In evaluating the process on the basis of a rate of return analysis, the correct equation to use is: Select one: O a. 0=-40,000+ 13,000( P/A,i,3) +5000( P/F,i,3) O b. 0=-40,000( A/P,i,3) + 13,000 + 5000( A/F 1,3) O c. Any of the answers are correct O d. 0=-40,000( F/P,i,3) + 13,000 ( F/A,i, 3) + 5000 Dion 27 vet ered ed out of question Which statement is incorrect regarding the use of factors? O a. A should be consecutive amounts O b. F is at the same year of the last A. O c. A are equal amounts of money. Od. P is at the same year of the first A. 13
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