The cash flows given in
table below are for two different alternatives. MARR
=10%

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Question: The cash flows given in table below are for two different alternatives. MARR =10% Data M …
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Data

M

N

Initial Cost

$20,000

$80,000

Uniform Annual
Benefits

$6,000

$10,000

Salvage Value

$5,000

$20,000

Useful Life in
years

5

infinity

The equivalent uniform annual worth (EUAW) of
alternative N is ______________.

Hint: Assume the Salvage Value is never
realized since N is infinite.

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