Question: 5)Listed below are two solutions for a service issue. Work out the present costs for option 1 so you can compare it to option 2..

 5)Listed below are two solutions for a service issue. Work out

5)Listed below are two solutions for a service issue. Work out the present costs for option 1 so you can compare it to option 2.. Use a 5 % interest rate 5 points Option 1 Option 2 First Cost 15,000 35,000 Maintenance 1200 yr 900yr Salvage 100 2000 Life 3years 6 years Option 1 A) 18,182 B) 33,888 c) 36,356 D) 41,057

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