Question

1)For the below ME alternatives , which machine should be selected based on the PW analysis. MARR=10%

	Machine A	Machine B	Machine C
First cost, $	25,529	30000	10000
Annual cost, $/year	8,565	6,000	4,000
Salvage value, $	4,000	5,000	1,000
Life, years	3	6	2

Answer the below questions :

A- PW for machine A=

2)For the below ME alternatives , which machine should be selected based on the PW analysis. MARR=10%

	Machine A	Machine B	Machine C
First cost, $	15000	23,487	10000
Annual cost, $/year	8,725	6,000	4,000
Salvage value, $	4,000	5,000	1,000
Life, years	3	6	2

Answer the below questions :

B- PW for machine B=

3)For the below ME alternatives , which machine should be selected based on the PW analysis. MARR=10%.

	Machine A	Machine B	Machine C
First cost, $	15000	30000	14,669
Annual cost, $/year	16,764	6,000	4,000
Salvage value, $	4,000	5,000	1,000
Life, years	3	6	2

Answer the below questions :

C- PW for machine C =

D- Based on the PW value you got in the previous questions, which machine we should select? type you explanation below ?

Answer 1