This chapter presents the methods by which two or more alternatives can be evaluated using a rate of return (ROR) comparison based on the methods of the previous chapter. The ROR evaluation correctly performed will result in the same selection as the PW and AW analyses, but the computational procedure is considerably different for the ROR evaluations. The first case study involves multiple options for a business owned for many years by one person. The second case explores nonconventional cash flow series with multiple rates of return and the use of the PW method in the situation. | 
2002 McGraw-Hill Higher Education