Question: The following two projects are mutually exclusive and repeatable. Your company wants you to use Replacement Chain Technique to evaluate projects with unequal lives. Suppose
The following two projects are mutually exclusive and repeatable. Your company wants you to use Replacement Chain Technique to evaluate projects with unequal lives. Suppose that the cost to repeat Project 2 changes in Year 3 . Calculate the cost to repeat Project 2 that will make you indifferent between the two projects. Your company's cost of capital is 8%. $130.25 $165.20 $200.00 $248.95 $305.00
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