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ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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![Given the following data, use Annual Worth analysis to find the best alternative, A, B, or C. Use
an interest rate of 15%.
Alternative
Initial Cost
Annual Benefit
Salvage Value
Useful Life
A
10,000
6,000
1,000
2 years
B
15,000
10,000
(2,000)
3 years
C
12,000
5,000
3,000
4 years](https://content.bartleby.com/qna-images/question/2dbc13b0-7582-4884-aaf7-242a8ea24816/42cb70dd-efd5-4205-ba74-25c6771a6f5c/6ls5lmq_thumbnail.png)
Transcribed Image Text:Given the following data, use Annual Worth analysis to find the best alternative, A, B, or C. Use
an interest rate of 15%.
Alternative
Initial Cost
Annual Benefit
Salvage Value
Useful Life
A
10,000
6,000
1,000
2 years
B
15,000
10,000
(2,000)
3 years
C
12,000
5,000
3,000
4 years
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