Make a new column headed Benefits Costs. In this column, enter a cell formula to find the present worth of each plan. The plan with the largest positive present worth is the best. Problem 5S-1 on page 187. Draw a cash flow diagram to help you understand the problem.
Signs can be a problem.
Problem 6S-3 on page 218. Refers to problem 6-30 on page 211. Use the PMT function to find the yearly cost of the new bailer. The object of the problem is to compare the annual cost of the old system with the annual cost of buying and operating the new bailer. Now answer these questions by changing the input values on your spreadsheet as necessary.