Given The Following Data
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given the following data. use present worth analysis to find the best alternative, A, B, or C.
Use an analysis period of 12 years and 15% interest.
A B C
Initial cost $10,000 15,000 $12,000
Annual Benefit 6,000 10,000 5,000
Salvage benefit 1,000 -2,000 3,000
Useful life 2 years 3 years 4 years
* Use an analysis period of 12 years and 15% interest.
solve using both present worth analysis and annual worth analysis
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