Determine the salvage value for the push system that will make the company indifferent to the two systems. Also, MARR = 9% per year.

The salvage value for the push system is determined to be $_____ in $1000 units.

The Briggs and Stratton Commercial Division designs and manufacturers small engines for golf turf maintenance equipment. A robotics-based testing system with support equipment will ensure that their new signature guarantee program entitled "Always Insta-Start" does indeed work for every engine produced. Pull System Push System $-1,600,000 $-2,300,000 First cost of equipment AOC per Year Salvage Value Estimated Life $-740,000 $115,000 8 years $-620,000 $90,000 8 years