Three years into a 10-year project, Consolidated Shipping Associates is considering an upgrade to a package conveyor line. A local supplier has two systems on sale as shown below; the QuickLine series is a close-out special (discounted 30% from list of $15,999) and the RFID Rider is built with RFID tracking as an option, though \as-is" the oor model does not have the RFID electronics

($10,000 up-charge) included. Because both systems are close-outs, there is no expectation the conveyor lines will be of much value at the end of the 8-year project period. Which system should be chosen?

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Project Parameter (15% MARR) | QuickLine RFID Rider Difference Initial project investment, P Expected duration of use, N Estimated annual net revenue $11,199 8 years $19,995 8 years $8,796 None $2,500 $5,150 $2,650