An engineering analysis by net present worth (NPW) is to be made for the purchase of two devices A and B (both useful life of 10 years. If an 8% interest rate is used, recommend the device to be purchased. Uniform Cost Annual Benefit Salvage Device A $600 $100 $250 Device B 700 100 180 1. Find PWA = %3D 2. Find PWB = 3. Select Device Note: Round to two decimal places your answer for a & b.

An engineering analysis by net present worth (NPW) is to be made for the purchase of two devices A and B (both useful life of 10 years. If an 8% interest rate is used, recommend the device to be purchased. Uniform Cost Annual Benefit Salvage Device A $600 $100 $250 Device B 700 100 180 1. Find PWA = %3D 2. Find PWB = 3. Select Device Note: Round to two decimal places your answer for a & b.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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