Consider the following two mutually exclusive projects being considered by an agency. The agency's MARR is 4% per year and the projectshave a service life of 5 years.Answer the following questions.Initial costAnnual revenuesPresent Worth (PW)Project 1$14,600$3,901$2,767Project 2$22,100$5,638a. Based on the PW, the project that is more economical is Projectb. Calculate the IRR of each alternative (use the trial-and-error method)% (Round to the nearest one decimal place)The IRR of Project 1 isThe IRR of Project 2 is% (Round to the nearest one decimal place)$2,999(Enter the project number).c. Perform the incremental IRR analysis to determine the project that is more economical:Incremental IRR =% (Round to the nearest one decimal place);Therefore, based on the incremental IRR, Project is more economical.d. Do the two methods produce the same recomendation for the most economical project?

a. Based on the PW, the project that is more economical is Project 2. b. To find the IRR of each…

Consider the following two mutually exclusive projects being considered by an agency. The agency's MARR is 4% per year and the projects have a service life of 5 years. Answer the following questions. Initial cost Annual revenues Present Worth (PW) Project 1 $14,600 $3,901 $2,767 ACCOR Project 2 $22,100 $5,638 $2,999 a. Based on the PW, the project that is more economical is Project (Enter the project number). b. Calculate the IRR of each alternative (use the trial-and-error method) The IRR of Project 1 is % (Round to the nearest one decimal place) The IRR of Project 2 is % (Round to the nearest one decimal place) c. Perform the incremental IRR analysis to determine the project that is more economical: Incremental IRR = % (Round to the nearest one decimal place); Therefore, based on the incremental IRR, Project is more economical. d. Do the two methods produce the same recomendation for the most economical project?

Consider the following two mutually exclusive projects being considered by an agency. The agency's MARR is 4% per year and the projects have a service life of 5 years. Answer the following questions. Initial cost Annual revenues Present Worth (PW) Project 1 $14,600 $3,901 $2,767 ACCOR Project 2 $22,100 $5,638 $2,999 a. Based on the PW, the project that is more economical is Project (Enter the project number). b. Calculate the IRR of each alternative (use the trial-and-error method) The IRR of Project 1 is % (Round to the nearest one decimal place) The IRR of Project 2 is % (Round to the nearest one decimal place) c. Perform the incremental IRR analysis to determine the project that is more economical: Incremental IRR = % (Round to the nearest one decimal place); Therefore, based on the incremental IRR, Project is more economical. d. Do the two methods produce the same recomendation for the most economical project?

Elements Of Electromagnetics

7th Edition

ISBN:9780190698614

Author:Sadiku, Matthew N. O.

Publisher:Sadiku, Matthew N. O.

ChapterMA: Math Assessment

Section: Chapter Questions

Problem 1.1MA

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