In comparing these two alternatives,which is the correct evaluation?
A) Truck A should be purchased as the net present value of the costs of this alternative is the lowest.
B) Truck A should be purchased as the net present value of the costs of this alternative is the highest.
C) Truck B should be purchased as the net present value of the costs of this alternative is the lowest.
D) Truck B should be purchased as the net present value of the costs of this alternative is the highest.

Question

Quizplus · Accepted Answer

The correct evaluation is to choose the alternative with the lowest net present value of costs, which is Truck A in this case.

In Comparing These Two Alternatives,which Is the Correct Evaluation