Figure 14. — Computer output, Problem 1. 



INVESTMENT ANALYSIS PROGRAM NO. 6. INT. STA, 

 PROBLEM NO. 1 — SAMPLE PROBLEM -PERIODIC COSTS AND INCOMES — 



PLAN 1 — 113 YEAR ROTATION 

 PLAN 2 — 100 YEAR ROTATION 



CONTROL CARD 6 



CONTROL CARD 7 



RINT 

 .020 



RINT 

 .001 



RINT JPR 

 .0*0 1 



LX 

 2 



LI 

 1 



JXX JX 



CONTROL CARD 7 



LI 

 2 



JX 

 



1 



113 



PERIODIC COSTS AND INCOMES 



LI 

 



JX 

 



2 



100 



YEAR 

 

 1 



la 



60 

 113 



COST 

 -3.00 

 -15.00 

 -35.00 

 97.20 

 456.00 



YEAR 

 

 1 

 16 

 60 

 100 



LI 

 



LI 

 



JX jX 

 



COST 

 -11.00 

 -25.00 

 -20.00 

 145.80 

 414.00 



GENERAL EVALUATION OF ALTERNATIVES 



LI LY LY LY LY LY LY KX KCXX KCX KCX 

 113 loo 00 555 



JX NZZ 

 



Hi NZ NZ NZ NZ NZ 1ST MX 

 00000000 



ROTATION LENGTH IN YEARS 



YEAR 



COST 



YEAR 



COST 



YEAR 



PROBLEM NO. 1 — SAMPLE PRoBi EM -PERIonlC COSTS AND INCOMES — 



INTERNAL RATE OF RETURN FOR SCHEDULE 0001 IS BETWEEN 2.7 AND 2.8 

 WITH PRESENT WORTHS OF 2.99 AND -0.23 RESPECTIVELY. 



INTERNAL RATE OF RETURN FOR SCHEDULE 0002 IS BETWEEN 2.9 AND 3.0 

 WITH PRESENT WORTHS oE 2.14 AtgD -1.53 RESPECTIVELY. 



PRESENT DISCOUNTED NET WORTH AT GIVEN ALTERNATIVE RATES OF INTEREST 



ALT-PLAN 1 ALT-PLAN 2 ALT-PLAN ALT-PLAN 



RATF (ROTATION 113) (ROTATION 100) (ROTATION 0) (ROTATION 0) 



2.0 



40,38 



59,75 



2.1 



. 32,86 



50, 16 



2.2 



26,25 



41,63 



2.3 



20,41 



34,02 



2.4 



15,25 



27.22 



2.5 



: 10,67 



21,11 



2.6 



6,61 



15,61 



2.7 



2,99 



10,66 



2.8 



-0,23 



6,19 



2.9 



-3,10 



2,14 



3.0 



-5,67 



-1,53 



3.1 



-7,96 



-4,85 



3.2 



-10,01 



-7,87 



3.3 



-11,85 



-10,62 



3.4 



-13,49 



-13,12 



3.5 



-14.96 



-15,40 



3,6 



-16,27 



-17,48 



3.7 



-17,45 



-19,38 



3,8 



-18,50 



-21,11 



3,9 



-19,44 



-22,69 



4,0 



-20,28 



-24,14 



45 



