Equivalent Annual-Worth Comparisons

Engineering Economics Revision Article Series

With an annual worth method, all the receipts and disbursements occuring over a period of time due to an engineering alternative are converted to an equivalent uniform yearly payment. Such a calculation can give annual cost of various alternative engineering alternatives.


Engineering Economics, 4th Edition, James L. Riggs, David D. Bedworth, and Sabah U. Randhawa, McGraw Hill, New York, 1996

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Problems and Solutions on Equivalent Annual Worth

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