Question: Q3: A company is considering its options for a machine to use in production. At a cost of $48 they can make some small repairs

Q3: A company is considering its options for a machine to use in production. At a cost of $48 they can make some small repairs on their current machine which will make it last for 2 more years. At a higher cost of $90 they can make some more extensive repairs on their current machine which will make it last for 5 more years. A new machine costs $350 and will last for 10 years. The company is facing an interest rate of 10%. Determine the best action. (20 marks)

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