Question: Atheft-avoidance locking system has a first cost of $31.000, an AOC of $9,000, and no sa age value after its 3-year life. Assume that you
Atheft-avoidance locking system has a first cost of $31.000, an AOC of $9,000, and no sa age value after its 3-year life. Assume that you were told the service provided by this asset would be needed for only 5 years. This means that the asset will have to be repurchased and kept for only 2 years. What would its market value, call it M have to be after 2 years in order to make its annual worth the same as it is for its 3-year life cycle at an interest rate of 10% per year? Determine the market value Musing factors, The market value Mis $
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