Question: Video cards based on a high speed data processor typically cost $250. A recently released light version of the chip costs $150. If Karamba Videos

Video cards based on a high speed data processor typically cost $250. A recently released light version of the chip costs $150. If Karamba Videos purchases 3000 chips per quarter, what is the present worth of the savings associated with the cheaper chip over a 2-year period at an interest rate of 16% per year compounded quarterly?

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