You were put in charge to set up a computing center for your company and you have
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Question:
You were put in charge to set up a computing center for your company and you have to determine what will be the annual equivalent cost of running the center. You have to purchase four engineering workstations at a price of $45,000 each, with an expected salvage value of $2,000 each at the end of a service life of five years. The annual operating and maintenance costs per workstation are $25,000. The company's MARR is 12%.
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