Solution manual of Engineering Economics 7th Ed
As an illustration of opportunity cost, refer to Figure 1–12 and assume a MARR of 12% per year... Meanwhile, proposal B has a ROR ϭ 14... Since proposal A is not undertaken due to the lack of capital, its estimated ROR of 13% is the opportunity cost; that is, the opportunity to make an additional 13% return is forgone... 10 Introduction to ...
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