Example Proposals
The following three proposals are used to show how to develop a set of mutually exclusive alternatives:
Proposal P1 is to buy an XYZZY computer, program it to predict the weather, and then sell weather predictions to the local news media.
Proposal P2 is to write an additional program for the XYZZY to generate horoscopes, which will be sold at grocery store checkout counters.
Proposal P3 is to buy a Cray-ola super computer, develop crystallography software, and then lease running time to university physics departments across the country.
The cash-flow streams over a 10-year study period for each of these proposals have been estimated and are shown in Table 9.4. For simplicity's sake, this chapter (and some later chapters) show ...
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