You have been requested to compare four mutually exclusive alternatives using the B/C method and the results are shown. Which alternative, if any, do you recommend? Alternative 2N Q Equivalent Total Cost, $ Million 20 8888 30 50 90 Direct B/C Ratio 0.75 1.07 1.20 1.11 AB/C Ratio When Compared with Alternative X 1.70 1.50 1.21 1.40 1.13 Z 1.00

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
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Chapter1: Making Economics Decisions
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You have been requested to compare four mutually exclusive alternatives using the
B/C method and the results are shown. Which alternative, if any, do you
recommend?
Alternative
X
Z
Q
Equivalent
Total Cost,
$ Million
20
30
50
90
Direct
B/C Ratio
0.75
1.07
1.20
1.11
AB/C Ratio When Compared with Alternative
1.70
1.50
1.21
1.40
1.13
Z
1.00
Transcribed Image Text:You have been requested to compare four mutually exclusive alternatives using the B/C method and the results are shown. Which alternative, if any, do you recommend? Alternative X Z Q Equivalent Total Cost, $ Million 20 30 50 90 Direct B/C Ratio 0.75 1.07 1.20 1.11 AB/C Ratio When Compared with Alternative 1.70 1.50 1.21 1.40 1.13 Z 1.00
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