Engineering Economics
CE 655
Question
2082 ChaitraChapter 4: Comparative Analysis of Alternatives4.1 Comparing Mutually Exclusive Alternatives Having Same Useful Life
From the following four mutually exclusive projects, recommend the best one using modified B/C ratio method. The study period is 5 years and MARR= 15%. Salvage Value = 20% of initial investment.
| Project | A | B | C | D |
|---|---|---|---|---|
| Initial Investment (Rs.) | 5,00000 | 4,00,000 | 7,00,000 | 6,00,000 |
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