Question: Please show work and explain 2) You have a choice between two machines. Both machines do the same job, both last the same period of

 Please show work and explain 2) You have a choice between

Please show work and explain

2) You have a choice between two machines. Both machines do the same job, both last the same period of time, both have zero scrap value. Future costs are discounted at 9% (compounded annually). Machine A - Costs $10,000 initially, plus expected maintenance costs of $200/year for the next 10 years (starting next year). Machine B - Costs $11,000 initially, plus expected maintenance costs of $100/year for the next 10 years (starting next year). At these prices, which machine would you prefer? At what price for machine B would you be indifferent between machines A and B

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