What is the recommendation now

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FISH NETS ELECTRIC BARRIERS

Initial investment $1,000,000 $2,000,000

Annual benefits $600,000 (EOY 1) $1,200,000 (EOY 1)

less expenses

$500,000 (EOY2) $1,500,000(EOY 2)

$500,000(EOY3) $0 (EOY 3)

Refer to the date given in problem 6-53. The EOY 3 estimate for the "fish nets: alternative is thought to be overly optimistic. A more realistic estimate is $400,000. If the MARR s 20%, what is the recommendation now?

Reference no: EM13151600

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