7. Compare the alternatives shown below on the basis of a future worth analysis, using an interest rate of 8% per year. First cost. S Annual operating cost. $ per year Salvage value, $ Life, years P -23.000 -4,000 3,000 3 Q -30,000 -2.500 1,000 6

7. Compare the alternatives shown below on the basis of a future worth analysis, using an interest rate of 8% per year. First cost. S Annual operating cost. $ per year Salvage value, $ Life, years P -23.000 -4,000 3,000 3 Q -30,000 -2.500 1,000 6

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Show which alternative is effective...

7.
Compare the alternatives shown below on the
basis of a future worth analysis, using an interest
rate of 8% per year.
First cost. $
Annual operating cost. $ per year
Salvage value, $
Life, years
Q
-23.000-30,000
-4,000
3,000
3
-2.500
1,000
6

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