The cash flows for two small raw water treatment systems are shown. Determine which should be selected on the basis of an annual worth analysis at 10% per year interest. MF UF First cost, $ -33,000 -51,000 Annual cost, $ per year -8,000 -3,500 Salvage value, $ Life, years 4,000 11,000 3 6

Principles of Accounting Volume 2
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Chapter11: Capital Budgeting Decisions
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The cash flows for two small raw water treatment systems are shown. Determine which
should be selected on the basis of an annual worth analysis at 10% per year interest. 

*please answer in a neat and clear way.

The cash flows for two small raw water treatment systems are shown. Determine which
should be selected on the basis of an annual worth analysis at 10% per year interest.
MF
UF
First cost, $
-33,000
-51,000
Annual cost, $ per year
-8,000
-3,500
Salvage value, $
Life, years
4,000
11,000
3
6
Transcribed Image Text:The cash flows for two small raw water treatment systems are shown. Determine which should be selected on the basis of an annual worth analysis at 10% per year interest. MF UF First cost, $ -33,000 -51,000 Annual cost, $ per year -8,000 -3,500 Salvage value, $ Life, years 4,000 11,000 3 6
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