Discussion
Annual worth is the equivalent uniform amount per period obtained by
Answer: D
Correct answer: multiplying the present worth by the capital recovery factor
\[ AW = PW \times (A/P, i, n) = PW \times \frac{i(1+i)^n}{(1+i)^n - 1}. \] Dividing by the number of periods would ignore interest entirely, which is the arithmetic mistake this option is placed to catch.
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