You are thinking about purchasing a new computer since the machine you are using now is $4$ years old, slow, not always reliavle, and does not support the latest operating system. Your needs for the new computer are simple: antivirus, software, email, web browsing, word processing, spreadsheet, database, iTunes and some lightweight graphical tools. You have to factor in a few added costs beyond just the initial purchase price for the computer itself, such as added hardware $($new printer, scanner$),$ software, training software upgrades and maintenance. $1.$ It is useful to think about costs over time$-$both direct as well as indirect costsPart of the decision will rest with present value of the purchase. $2.$ A dollar today is worth more than a dollar one year from now. $3.$ Relevant discount rate is your marginal cost of capital corresponding to a level of risk equal with the purchase Excell NO $(12\mathrm{.}01)$