Consider these two alternatives. a. Suppose that the capital investment of Alternative 1 is known...
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Consider these two alternatives. a. Suppose that the capital investment of Alternative 1 is known with certainty. By how much would the estimate of capital investment for Alternative 2 have to vary so that the initial decision based on these data would be reversed? The annual MARR is 18% per year. b. Determine the life of Alternative 1 for which the AWs are equal. a. The capital investment of Alternative 2 would have to be $ or less for the initial decision to be reversed. (Round to the nearest dollar.)
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