ngineering Economy - Blank/Tarquin, Be, Annual Worth Analysls (c) $4974 (d) $547

Question

ngineering Economy - Blank/Tarquin, Be, Annual Worth Analysls (c) $4974 (d) $5471 To get the AW of a cash flow of $10,000 that occurs every 10 years forever, with the first one occurring now, it is correct to: (a) multiply the $10,000 by (A/P.i, 10) (b) multiply the $10,000 by (A/F.i,10) (c) multiply the $10,000 by i (d) multiply the $10.000 by (A/F.in) and then multiply by i 6.50 51 The estimates for two alternatives are to be compared on the basis of their perpetual equivalent annual worth At an interest rat per year, the equation that reprezents the perpetual AW ofY1 i Alternative X1 Y1 Rcad this section if you do not understand the highlighted topic 90.000

Explanation / Answer

The correct answer is B

Multiply the $10,000 by (A/F,i,10)

This is the standard formula.

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