Calculate the conventional b/c ratios

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Reference no: EM13763400

1. Calculate the conventional b/c ratios for alternate a. is alternate aeconomically justified?

2. Calculate the modified b/c ratio for alternate a. is alternate a economically justified?

4. perform a life cycle cost analysis on alternate a.

5. Perfrom a life cycles savings analysis on alternate a.

6. Perform a break-even quantity analysis to calculate thenumber of projects that must be undertaken each year to justify

Alternative a. The laborfor alternate ais $14.00 per hour alternate a can produce 1 project/10 hr.

proposal initial cost

Alternate a $35,000

alternate b$70,000

Ce 3360/3361 -3-

Project ii -fall2013name:_______________

Alternate a

Interest on 10.38%/year

cost

Interest on +1.5%

revenue

Aw initial -$11.1k/yr

cost

Aw technical-$0.7k/yr

Support

Aw upgrades -$0.71k/yr

Aw revenue +$4.9k/yr

Aw salvage +$.86k

Pw salvage +$3.2k

Life 4 years

By signing this page, i stipulate that i have not given nor received any help in completing this project______________________________

project ii: due 3december 2014

200_Cash flow diagram1.png

Reference no: EM13763400

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