Question:

Please proper explain and do not copy from Chegg. otherwise I have to report the answer.

Show detailed calculation steps also.

A presently owned machine has the projected market volue and M\&O costs shown below. An outside vendor of services has offered to provide the service of the existing machine at a fixed price per year. If the presently owned machine is replaced now, the cost of the fixed-price contract will be $33,000 per year, If the presently owned machine is replaced next year or any time after that, the contract price will be $35,000 per year. Determine if and when the defender should be replaced with the outside vendor using an interest rate of 10% per year. Assume used equipment similar to the defender will always be available, but that the current equipment will not be ratainert more than three arirlitional vaars The defender should be replaced (at the)