Question

A resort would like to ensure that it has vehicles to transport guests who have difficulty walking around its facilities. It is trying to decide between two different vehicles: Model A

or Model B. These options are mutually exclusive. The cash flow profiles for each of these alternatives are given below: Initial Investment, $ Annual Revenues. S Annual Costs, $ Salvage Value, $ PW Model A-S Model A Model B PW Model B-S 9,500 22.000 3,800 11,000 1,000 6,400 3,000 Assume a planning horizon of 5 years and a MARR of 12%. Compute the resort should purchase. Click here to access the TVM Factor Table calculator. 12,000 ach alternative, and determine which vehicle the

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