Determine the FW of the following engineering project when the MARR is 17% per year. Is...

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Answer 1

Answer #1

we calculate the Net Present Value of the project as = Present value of Inflow- Present Value of Outflow.

Year	Net Inflow ($) (a)	PV Factor @ 17% (b)	Present Value ($) (a*b)
1	3000	0.8547	2564.1
2	3000	0.7305	2191.5
3	3000	0.6244	1873.2
4	3000	0.5337	1601.1
5	3000	0.4561	1368.3
6	1900	0.3898	740.62
			10,339
Investment			9,500
Net Present Value			839

Future Worth of Project is $839*2.5652 = $2152

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Answer 2

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