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example 5.2
persent of worth factor is 0.094393
annual cost excludinding interest and
depreciation of a Rs30609600
persent worth factor 0.094393
present worth annual cost of a is Rs324278538
investement of a is Rs270000000
total persent worth of a is 594278538
annual cost excludinding interest and
depreciation of b Rs30384600
persent wort factor 0.094393
present worth annual cost of b is Rs321894885
investement of b is Rs315000000
total persent worth of b is 636894885
annual cost excludinding interest and
depreciation of c Rs30159600
persent wort factor 0.094393
present worth annual cost of c is Rs319511232
investement of c is Rs360000000
total persent worth of c is 679511232
annual cost excludinding interest and
depreciation of utility service Rs45000000
persent wort factor 0.094393
present worth annual cost of utility service is Rs476730641
investement of utility service is nill
total persent worth of utility service is 476730641
since the present worth of the utility service is the minimum,it is the obvious choice
out of the other plans,plan A is the best since it has the lowest present worth
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