A chemical company is considering purchasing a new production equipment. The following models have been identified as
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A chemical company is considering purchasing a new production equipment. The following models have been identified as technically viable candidates. The company's MARR is 20%. What is the difference between the FW of the best and worst alternatives, given the co-termination assumption? (Please keep your answer in thousands of dollars and leave a decimal place)
machine a | Machine B | Machine C | |
capital investment | 30.000 $ | 26.000 $ | 16.000 $ |
Useful life (years) | 8 | 12 | 6 |
Market value at end of life | 0 $ | $5,500 | 0 $ |
annual revenues | 180.000 $ | 152.000 $ | 80.000 $ |
annual expenses | 171.000 $ | 140.000 $ | 68.000 $ |
Related Book For
Marketing Research
ISBN: 9781119497639
13th Edition
Authors: V. Kumar, Robert P. Leone, David A. Aaker, George S. Day
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