Answered: 1- Find the internal rate using the…

1- Find the internal rate using the method of Internal Rate of Return (IRR) if i = 15%, for the table shown below. If the initial cost is (220,000 U)

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Engineering economics

1- Find the internal rate using the method of Internal Rate of Return (IRR) if
i = 15%, for the table shown below. If the initial cost is (220,000 U)
Cost (U)
Revenue
(U)
Year
350 380 400 500 550
00 500 1000 770 450
1 2 3
4
5
470 780
880
6
7
650 690
660 890
8
9
450
770
10

Application of economic techniques to the evaluation of design and engineering alternatives. The role of engineering economics is to assess the appropriateness of a given project, estimate its value, and justify it from an engineering standpoint.

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