TheCo is considering two projects. Project A requires an inv…
TheCo is considering two projects. Project A requires an investment of $56,900. Estimated annual receipts for 20 years are $20,650; estimated annual costs are $12,490. An alternative project, B, requires an investment of $74,700, has annual receipts for 20 years of $29,100, and has annual costs of $18,320. Assume both projects have zero salvage value and that MARR is 12%/year. What is the annual worth of the recommended project?