In: Accounting
There are three mutually exclusive alternatives being considered. One of the three must be selected, so this is a set of three cost alternatives. MARR is 15% and the life of each project is 12 years. These projects are:
Project I
Capital Cost: $130,000
Revenue/Savings: 22,000
Expense/Cost: $12,000
Salvage: $25,000
Project II
Capital Cost: $100,000
Revenue/Savings: $10,000
Expense/Cost: $15,000
Salvage: $20,000
Project III
Capital Cost: $160,000
Revenue/Savings: $10,000
Expense/Cost: $20,000
Salvage: $40,000
please solve asap, thank you!