If You Have Reliable Economic Forecast for Five Years Only

question 50

Multiple Choice

If you have reliable economic forecast for five years only, and you would like to evaluate two alternatives with five and six years service lives, the best method to do so is

• A)the repeated lives method.
• B)the study period method.
• C)Both repeated lives method and study period method produce the same result.
• D)to choose the alternative with the highest FW.
• E)to choose the alternative with the highest PW.

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Definitions:

Ozone

A molecule composed of three oxygen atoms, found in the Earth's stratosphere, where it plays a critical role in protecting living organisms from ultraviolet radiation.

Lichen

A symbiotic organism composed of a fungus and a photosynthetic partner, typically an alga or cyanobacterium, found on rocks, trees, and soil.

Mutualistic Relationship

A type of symbiotic relationship where both organisms involved benefit from their interaction.

Dinoflagellate

A type of planktonic microorganism, many species of which are photosynthetic, contributing to marine and freshwater ecosystems.