Calculate the benefit cost ratio

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Reference no: EM133114598

Your firm is considering the following 3 mutually exclusive alternatives. Interest rate is 10%.

Calculate the Benefit Cost ratio of each alternative.

 

A

B

C

Initial Cost

$35,000.00

$21,000.00

$42,000.00

Annual Benefit

$4,200.00

$3,300.00

$5,000.00

Salvage Value

$0

$1,000.00

$1,500.00

Project Life

Forever

20 year 

50 year

Reference no: EM133114598

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