Question: Question 1 An existing machine is worth $2,500 today 's $8 000 operating cout for this your is predicted to increase by $1 000 annuity,

Question 1 An existing machine is worth $2,500 today 's $8 000 operating cout for this your is predicted to increase by $1 000 annuity, ewing to deterioration ! wil be retired in 4 your, when it's schoop yoke will be zero. Area improved machine that satisfactory perform the same function in the exulting machine can be purchased for $16 090 and is expected to have relatively constant annual spotting costs of $5030 to the end of is / year "economic ide, hit which tore the salvage vote will be $1,500 No major improvements are expected in design for machine of this type within / years If the minimum attractive rate of rehim in 12%% what is the cour cent annual worth of the emsong (defender) machine) 0 -52 500 P $10,181 0 -$10.101
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
