Consider the following EOY cash flows for two mutually exclusive alternatives (one must be chosen). The MARR is 10% per year. Lead Acid Lithium lon $12,000 $2,100 Capital investment Annual expenses Useful life Market value at end of useful life Click the icon to view the interest and annuity table for discrete compounding when/-10% per year. CHILD (b) Determine which alternative should be selected based on the AW method, also assuming repeatability The AW of the Lead Acid is $ (Round to the nearest dollar) The AW of the Lithium lon is S (Round to the nearest dollar) Which alternative should be selected? Choose the correct answer below. O Lead Acid O Lithium lon $7,000 $2,500 8 years $0 (a) Determine which alternative should be selected based on the PW method. Assume repeatability and use a study period of 24 years. The PW of the Lead Acid is $ (Round to the nearest dollar) The PW of the Lithium lon is (Round to the nearest dollar) Which alternative should be selected? Choose the correct answer below O Lithium lon O Lead Acid 12 years $2,600

Consider the following EOY cash flows for two mutually exclusive alternatives (one must be chosen). The MARR is 10% per year. Lead Acid Lithium lon $12,000 $2,100 Capital investment Annual expenses Useful life Market value at end of useful life Click the icon to view the interest and annuity table for discrete compounding when/-10% per year. CHILD (b) Determine which alternative should be selected based on the AW method, also assuming repeatability The AW of the Lead Acid is $ (Round to the nearest dollar) The AW of the Lithium lon is S (Round to the nearest dollar) Which alternative should be selected? Choose the correct answer below. O Lead Acid O Lithium lon $7,000 $2,500 8 years $0 (a) Determine which alternative should be selected based on the PW method. Assume repeatability and use a study period of 24 years. The PW of the Lead Acid is $ (Round to the nearest dollar) The PW of the Lithium lon is (Round to the nearest dollar) Which alternative should be selected? Choose the correct answer below O Lithium lon O Lead Acid 12 years $2,600

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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