Each alternative has a 5-year life if abby requires at


Abby W is considering investing in one of the following investment projects.

                                    A                      B                      C                     D                     E

First Cost                   100.00             130.00             200.00             300.00             0.00

Annual Income           150.00             130.78             185.00             184.55             0.00

Annual Cost               123.62             92.00               137.52             93.00               0.00

Each alternative has a 5-year life. If Abby requires at least an 8% return on her investments, which alternative should she select?

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Financial Management: Each alternative has a 5-year life if abby requires at
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