Question: Answer Question 16 and 17 A regional infrastructure building and maintenance contractor must decide to buy a new compact horizontal directional drilling (HDD) machine now,

 Answer Question 16 and 17 A regional infrastructure building and maintenance

Answer Question 16 and 17 A regional infrastructure building and maintenance contractor must decide to buy a new compact horizontal directional drilling (HDD) machine now, or wait andbuy il 2 years from now when a large pipeline contract will require the new equipment. The HDD machine will include an innovative pipeloader design and amaneuverable undercarriage system. The cost of the system is $70.800 if purchased now or an estimated $80,100 if purchased 2 years from now. 16. Ati - 12% per year and f = 3% per yeur, determine if the contractor should buy now or later without any adjustment for inflation 17. At i = 12% per year and f = 3% per year, determine if the contractor should buy now or later with inflation considered

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