Business, 12.02.2021 01:10 tyraxoxo

A remotely located air sampling station can be powered by solar cells or by running an electric line to the site and using conventional power. Solar cells will cost $19,500 to install and will have a useful life of 4 years with no salvage value. Annual costs for inspection, cleaning, etc. are expected to be $1,150. A new power line will cost $9,500 to install, with power costs expected to be $850 per year. Since the air sampling project will end in 4 years, the salvage value of the line is considered to be zero. At an interest rate of 15% per year, which alternative should be selected on the basis of a future worth analysis

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