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# Type your answers rounded to the nearest whole percent using the following format (XX%) , without decimal places (i.1% write as 02%). Show your work...

Type your answers rounded to the nearest whole percent using the following format (XX%), without decimal places (i.e: 2.1% write as 02%). Show your work on your worksheet.

 Alternative A B C Initial Cost 3000 3600 5020 Annual Savings 447 590 783 Lifetime (years) 10 10 10

Part 1) What is the rate of return for Option A? (XX%) :

Part 2) What is the rate of return for Option B? (XX%) :

Part 3) What is the rate of return for Option C? (XX%) :

Part 4) What is the incremental rate of return for Option B-A? (XX%) :

Part 5) What is the incremental rate of return for Option C-B? (XX%) :

Part 6) Which option do you recommend (type in the letter of the alternative A, B, or C) :

solutions...
part 1) The formula of calculating the RATE OF RETURN is
RR= [(current value-original)/initial value]100
for Option A ;
RR= {[(447x10)-3000]/3000}x100
=49%
Part2) Option B;...

Hello student, I can handle your question though it requires a lot of work for you to get the... View the full answer

1 comment
• ka_moderator
• Jul 20, 2016 at 1:50pm

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