Which proposal should be selected depending on the cash flow analysis? If = 10% and why? Proposal A Proposal B Initial cost $1000 $1200 Useful life 6yr 12yr Salvage value $200 $325

EGE3012 Eng. Cost Analysis Student Name: Extra Credit 2 Student Number: Date Due: 6/20/2022 Problem 1: Which proposal should be selected depending on the cash flow analysis? If i = 10% and why? Proposal A Proposal B Initial cost $1000 $1200 Useful life 6yr 12yr Salvage value $200 $325 Problem 2: Which machine should be selected depending on the annual cash flow analysis? If i = 8% and why? Machine A Machine B Initial cost $2000 $2000 Useful life (year) 5 5 Saving (year) $500 $800; 750