Val is considering purchasing a new video plasma display panel to use with her notebook computer. One model, the XJ3, costs

$4400

new, while another, the Y19, sells for

$3300.

Val figures the XJ3 will last about

three

years, at which point it could be sold for

$700,

while the Y19 will last for only

two

years and will also sell for

$700.

Both panels give similar service, except the Y19 is not suitable for client presentations. If she buys the Y19, about four times a year she will have to rent one similar to the XJ3, at a total year-end cost of about

$225.

Using

present worth

LOADING...

and the least common multiple of the service lives, determine which display panel Val should buy. Val's

MARR

LOADING...

is

10

percent.