Question: 5-40. Use the ERR method to evaluate the economic worth of the diagram shown below. The value of the external reinvestment rate, , is 8%

5-40. Use the ERR method to evaluate the economic worth of the diagram shown below. The value of the external reinvestment rate, ∈, is 8% per year. The MARR

= 10% per year. (5.7)

0 1 2 3 4 5 6 7 8

$3,500

$1,500 EOY A = $138 per year

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