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Given the Data for Two Alternatives, Choose the Better Alternative

Question 11

Multiple Choice

Given the data for two alternatives, choose the better alternative using the B/C ratio analysis. MARR = 8%
 Alternative XY First cost $100,000$140,000 Operating costs/year 50,00060,000 Benefits /year 100,000120,000 Dis-benefits/year 30,00025,000 Life in years 510\begin{array} { l c c } \quad \text { Alternative } & \mathbf { X } & \mathbf { Y } \\\text { First cost } & \$ 100,000 & \$ 140,000 \\\text { Operating costs/year } & 50,000 & 60,000 \\\text { Benefits /year } & 100,000 & 120,000 \\\text { Dis-benefits/year } & 30,000 & 25,000 \\\text { Life in years } & 5 & 10\end{array}


A) Alt. X
B) Alt. Y

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