That was when Alexandra, a recent graduate in industrial engineering, stepped forward with an innovative solution. Using her knowledge of engineering economics, she proposed conducting a thorough analysis of the project's feasibility.

Alexandra began by gathering data on the factory's expected revenues and expenses. She estimated that the factory would generate $10 million in annual revenues for the next 10 years, with an annual operating cost of $3 million. She also assumed that the factory would have a salvage value of $10 million at the end of its 10-year lifespan.

The town of Willow Creek was buzzing with excitement as news spread about a new factory that was to be built on the outskirts of town. The factory, which would produce cutting-edge solar panels, promised to bring in hundreds of jobs and boost the local economy.

Over the next decade, the factory proved to be a huge success, generating significant revenue and creating hundreds of jobs. The town of Willow Creek flourished, and Alexandra's analysis was hailed as a key factor in the project's success.

After conducting the analysis, Alexandra presented her findings to the town council. She calculated that the project's present worth was $23.4 million, indicating that the investment was economically viable. She also determined that the project's internal rate of return was 18.5%, which was higher than the town's minimum attractive rate of return of 12%.

However, as the town council began to discuss the project, concerns arose about the financial viability of the factory. The estimated construction cost was $50 million, and the town council was unsure if the investment would pay off.