Pamela recently moved to Celebration, Florida, an unincorporated master-planned community in Osceola County that connects directly to the Walt Disn To support the planned community's environmentally friendly transit system and to save on transportation costs, she wants to buy a new Neighborhood NEV). She is looking into three models of the NEVS and has been provided with the information below. Compare the alternatives shown and determine bould be Durchased if Pamela's personal MARR is 13% ner vear

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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Pamela recently moved to Celebration, Florida, an unincorporated master-planned community in Osceola County that connects directly to the Walt Disney World parks.
To support the planned community's environmentally friendly transit system and to save on transportation costs, she wants to buy a new Neighborhood Electric Vehicle
(NEV). She is looking into three models of the NEVS and has been provided with the information below. Compare the alternatives shown and determine which model
should be purchased if Pamela's personal MARR is 13% per year.
Transcribed Image Text:Pamela recently moved to Celebration, Florida, an unincorporated master-planned community in Osceola County that connects directly to the Walt Disney World parks. To support the planned community's environmentally friendly transit system and to save on transportation costs, she wants to buy a new Neighborhood Electric Vehicle (NEV). She is looking into three models of the NEVS and has been provided with the information below. Compare the alternatives shown and determine which model should be purchased if Pamela's personal MARR is 13% per year.
Might-E
Zenn
Dynasty
$12,000
$4,073
$13,500
$5,682
$8,182
$1,700
$14,500
$6,244
$7,544
$2,500
Initial costs
Annual expenses
Annual savings
$6,573
$1,300
Salvage value
Life (years)
10
10
10
IRR
16.82%
14.00%
1.09%
Transcribed Image Text:Might-E Zenn Dynasty $12,000 $4,073 $13,500 $5,682 $8,182 $1,700 $14,500 $6,244 $7,544 $2,500 Initial costs Annual expenses Annual savings $6,573 $1,300 Salvage value Life (years) 10 10 10 IRR 16.82% 14.00% 1.09%
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