Question: Repeat Exercise 8.6 if the MARR for the company is (5.5 %) in the first 4 years and increases to (6 %) starting in year

Repeat Exercise 8.6 if the MARR for the company is $5.5 \%$ in the first 4 years and increases to $6 \%$ starting in year 5.

Exercise 8.6

A newly implemented technology in a manufacturing plant pays zero revenue in the first 2 years but $\$ 1,000$ revenue in the third and fourth years; this amount increases by $\$ 500$ annually for the following 5 years. If the company uses an MARR of $5.5 \%$ per year, what is the present value of these cash flows? What is the annual equivalent of the benefits over a 7 -year period?

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