A project requires an initial investment of $100,000, has a salvage value of $20,000 after 4 years, and incurs annual ex

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answerhappygod
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A project requires an initial investment of $100,000, has a salvage value of $20,000 after 4 years, and incurs annual ex

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A project requires an initial investment of $100,000, has a salvage value of $20,000 after 4 years, and incurs annual expenses of $15,000. It has been estimated that the project will earn yearly revenues as follows:
Year Revenue
Year 1 = 0
Year 2 = 40,000
Year 3 = 80,000
Year 4 =120,000
Using a MARR of 12%, determine the AW of this project. You need to draw a cash flow diagram for this problem.
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