Question: I need to know, based on the information below how to calculate the: - PV for the cost of the Repair Option - the annuity
I need to know, based on the information below how to calculate the: PV for the cost of the Repair Option the annuity payment for the Repair Option the PV for the Replacement option You have an old Honda Civic, whose engine broke down. It will cost $ to repair the engine and after that the car can be expected to last another years. You also have the option to sell your old car for $you dont pay any taxes on your sale, so this is equivalent to your SVNOT and buy a new one for $ The new Honda Civic can be expected to last years. Your cost of capital is
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