PART A.) Decide which of the following machines should be selected (if one of them MUST be selected) using a Present Worth Analysis assuming 8% interest. I want to see PWp and PWo calculated as part of the decision. First Cost, $ Annual Operating Cost, $/year Salvage Value, $ Life, years 20,000 4,000 15,000 5,000 5,000 3 5,000

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PROBLEM 3:
PART A.) Decide which of the following machines should be selected (if one of them MUST be
selected) using a Present Worth Analysis assuming 8% interest. I want to see PWp and PWo
calculated as part of the decision.
P
Q
15,000
5,000
First Cost, $
Annual Operating Cost,
$/year
Salvage Value, $
Life, years
20,000
4,000
5,000
2
5,000
PART B.) Decide which of the following alternatives should be selected (if one of them MUST
be selected) using an Annual Worth Analysis assuming 12% interest. I want to see AWA and
AWB calculated as part of the decision.
First Cost, $
Annual Operating Cost,
$/year
Salvage Value, $
Life, years
50,000
10,000
90,000
4,000
13,000
15,000
6.
Transcribed Image Text:PROBLEM 3: PART A.) Decide which of the following machines should be selected (if one of them MUST be selected) using a Present Worth Analysis assuming 8% interest. I want to see PWp and PWo calculated as part of the decision. P Q 15,000 5,000 First Cost, $ Annual Operating Cost, $/year Salvage Value, $ Life, years 20,000 4,000 5,000 2 5,000 PART B.) Decide which of the following alternatives should be selected (if one of them MUST be selected) using an Annual Worth Analysis assuming 12% interest. I want to see AWA and AWB calculated as part of the decision. First Cost, $ Annual Operating Cost, $/year Salvage Value, $ Life, years 50,000 10,000 90,000 4,000 13,000 15,000 6.
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