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Problem #2 (Annual Cash flow analysis) Use the annual cash flow analysis to select one of the following three alternatives : Initial cost Annual benefit Salvage value Life in years MARR

A B с $4500 $1900 $1200 $2800 $700 $300 $500 $900 0 2 years 3 Years 4 years 5% Draw a Cashflow diagram for B. using any other method than the cash flow analysis will not be accepted.

Fig: 1