An old forklift is due for a replacement analysis. It has a current market value $10,000. The market values and operation and maintenance costs for each of the remaining years of service are given below. The MARR is 10% per year. (a) Complete the table of marginal costs of the old forklift for each of the remaining years of service. (b) If the challenger has a minimum EUAC of $7,237, answer the two additional questions. Forklift (Defender) Year MV at EOY 1 $6,000 O&M Costs $4,000 2 5,000 4,000 3 3,500 4,500 4 1,500 5,500 Reference Click the icon to view the interest and annuity table for discrete compounding when MARR = 10% per year. Amount Answers (a) Fill in the table below. (Round to the nearest dollar.) Factor Worth Factor To Find F Given P Given F Given A Discrete Compounding; i=10% Single Payment Compound Present To Find P Compound Amount Factor To Find F Uniform Series Present Worth Factor To Find P Sinking Fund Factor To Find A Capital Recovery Factor To Find A Given P Given A Given F N F/P P/F F/A P/A A/F A/P Year Marginal Cost 1 1.1000 0.9091 1.0000 0.9091 1.0000 1.1000 1 2 1.2100 0.8264 2.1000 1.7355 0.4762 0.5762 2 3 1.3310 0.7513 3.3100 2.4869 0.3021 0.4021 3 4 1.4641 0.6830 4.6410 3.1699 0.2155 2155 0.3155 5 1.6105 0.6209 6.1051 3.7908 0.1638 0.2638 $ 6 1.7716 0.5645 0.9049 7.7156 4.3553 0.1296 0.2296 7 1.9487 0.5132 9.4872 4.8684 0.1054 0.2054 (b) Since Analysis Technique No 2 applicable here (make sure you know why, Example 5 Module 10), which additional calculation required before the replacement decision can be made? 8 2.1436 0.4665 11.4359 5.3349 0.0874 0.1874 9 2.3579 0.4241 13.5795 5.7590 0.0736 0.1736 A. The minimum marginal cost of the challenger 10 2.5937 0.3855 15.9374 6.1446 0.0627 0.1627 OB. The minimum EUAC of the defender over its remaining life Then, the decision will be made to replace the defender if OA. The minimum EUAC of the defender is higher than the minimum EUAC of the challenger B. The minimum marginal cost of the challenger is higher than the first year marginal cost of the defender C. The minimum EUAC of the defender is lower than the minimum EUAC of the challenger Print Done Clear all Check answer