Question: For Machines X and Y shown, what is the difference between the EUAW for the HICP and the LICP? Machine X Machine Y Initial cost
For Machines X and Y shown, what is the difference between the EUAW for the HICP and the LICP? Machine X Machine Y Initial cost $559,000 $968,000 Life 4 6 Inflation (for costs and benefit increase) 7.0% p. y. MARR 10% p. y. c. y. Project life 14 years First year estimated costs $195,650 $377,520 First year estimated benefits $402,480 $629,200 Salvage value of machine today $143,500 $172,400 Market value of machine today with 2 years of use $251,550 $435,600
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