Xanadu Mining is considering three mutually exclusive alternatives, as shown in the table below. MARR is 7.5 % year.
EOY A001 B002 C003
0 -$230 -$110 -$164
1 $100 $60 $86
2 $110 $60 $86
3 $120 $60 $86
4 $130 $70 $86
What is the present worth of each alternative?
Alternative A001:
Alternative B002:
Alternative C003:
Which alternative should be recommended?