Question
In: Economics
*************** Answer this question clearly showing steps please. The initial cost of a piece of equipment...
***************
Answer this question clearly showing steps please.
The initial cost of a piece of equipment is 80 000 dollars.
The value of this equipment by the market has been declining at a rate of 15 000 dollars annually.
The O and M costs in the first year were 10 000 dollars and have been increasing by 2 000 dollars from the second year.
Determine the minimum cost life of this equipment if MARR is 10%
Answers:
4 years, 2 years, 1 years or 5 years?
It could be one of the following choices above.
Thanks.... Show steps
Solutions
Rahul Sunny answered 2 years agoRelated Solutions
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