Question: let d8 = 3;Thankyou! Question 2 [Total 15 marks] For a replacement analysis, the cost of a challenger is $(10,000 + D8 100) and the
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let d8 = 3;Thankyou!
Question 2 [Total 15 marks] For a replacement analysis, the cost of a challenger is $(10,000 + D8 100) and the current market value of the defender is $(2,000 + D8 ~ 50). Given that the MARR is 10% per year. The market values (MV) and the annual operating and maintenance costs (AOC) are listed as follows. EOY Defender MV ($) AOC ($) 1000 1000 Challenger MV ($) AOC ($) 3000 02 12 24 500 3000 1500 2000 1000 3 0 6000 3000 42 02 8000 500 6000 (a) Find the economic life (minimum EUAC) of the challenger. (b) Find the most economical period to keep the defender before replacing by the challenger
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