What is the future worth of each project

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Reference no: EM131047534

Tempura Inc. is considering two projects, and must do one of them. Project A requires an investment of $44,000. Estimated annual receipts for 20 years are $24,000; estimated annual costs are $12,500. An alternative project, B, requires an investment of $95,000, has annual receipts for 20 years of $25,000, and has annual costs of $18,000. Assume both projects have a zero salvage value and that MARR is 10.5%/year.

What is the future worth of each project?

Reference no: EM131047534

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What is the future worth of each project : Tempura Inc. is considering two projects, and must do one of them. Project A requires an investment of $44,000. Estimated annual receipts for 20 years are $24,000; estimated annual costs are $12,500. What is the future worth of each project?

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