Question: Project Initial cost - $130 Salvage Value After 7-year service life - $35 Operation and Maintenance cost - 45$ in the first year, then increasing

Project Initial cost - $130

Salvage Value After 7-year service life - $35

Operation and Maintenance cost - 45$ in the first year, then increasing by 5$ each year after.

Projects expected annual benefit: 90$

Is this project a desirable investment if the Minimum Acceptable Rate of Return is 25%?

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