Question: Can you put the excel solution too please. Compare the equipments P and Q. Use a MARR of 18% annual nominal, compounded annually. Use the

Can you put the excel solution too please.

Compare the equipments P and Q. Use a MARR of 18% annual nominal, compounded annually.

  1. Use the repeat method and take a decision.
  2. Use the AEC-method and take a decision.

Equipm. P Equipm. Q

Inititial investment $29,000 $37,000

Salvage Value 4,000 5,000

Useful life (years) 3 6

Annual operating costs 3,000 3,500

Special maintenance (end year 2 only) 3,700 2,000

Revenues 10,000 12,000

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