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Business, 31.07.2020 22:01 XynonAdat

A solid-waste recycling plant is considering two types of storage bins using an MARR of 10% per year, 1. Use ROR evaluation to determine which should be selected (if trial and error is preferred, use i= 5% and 10%)
2. Confirm the selection with the selection using the regular Aw method at 1-10% per year
3. What can you conclude form these two selection methods?
Storage Bin P Q
First Cost,$ -18,000 -35,000
AOC, $ per year -4,000 -3,600
Salvage value, $ 1000 2,700
Life, years 3 6

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