Question: Answer all parts complete and correct to get 100% feedback!! A firm is seeking your help to conduct equivalent uniform annual worth of the monitoring
Answer all parts complete and correct to get 100% feedback!!
A firm is seeking your help to conduct equivalent uniform annual worth of the monitoring system before purchasing the new equipment.
Take i = 4.5% per year.
Draw cash flow diagram.
| Year | System |
| Initial Cost | $75000 |
| Maintenance Cost ( Year 3) | $1800 |
| Maintenance Cost ( Year 4) | $1900 |
| +Cost Gradient 5-9years | $250 per year |
| Annual Revenue | $7500 |
| Salvage Value | $9500 |
| Useful lives | 10 years |
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