5. For the cash flows shown below, use an annual worth comparison to determine which alternative is best at an interest rate of 12% per year compounded monthly. Alternative First Cost, $ Monthly Costs, Smonth 30,000 Cost every 4 years,S Salvage Value,S Life, vrs 60,000 300,000 20,000 900,000 15,000 60,000 200,000 25,000 20 7.000 00

5. For the cash flows shown below, use an annual worth comparison to determine which alternative is best at an interest rate of 12% per year compounded monthly. Alternative First Cost, $ Monthly Costs, Smonth 30,000 Cost every 4 years,S Salvage Value,S Life, vrs 60,000 300,000 20,000 900,000 15,000 60,000 200,000 25,000 20 7.000 00

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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