15. The company Constructora Asociados needs to acquire a new mixer to prepare the concrete that it uses in its works. There are two models on the market that provide the same service and produce the same income, each with the following characteristics: mixer type Caterpillar Jhon Deere equipment cost 16,000 14,000 Annual income 8,000 8,000 Operating expenses/year of 1,800 2,200 useful life 5 years 5 years Which of the two mixers should the company buy if its opportunity rate is 13% per year?

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
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Chapter1: Financial Statements And Business Decisions
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15. The company Constructora Asociados needs to acquire a new mixer to
prepare the concrete that it uses in its works. There are two models on the
market that provide the same service and produce the same income, each
with the following characteristics:
mixer type
Caterpillar
Jhon Deere
equipment cost
16,000
14,000
Annual income
8,000
8,000
Operating expenses/year of
1,800
2,200
useful life
5 years
5 years
Which of the two mixers should the company buy if its opportunity rate is
13% per year?
Transcribed Image Text:15. The company Constructora Asociados needs to acquire a new mixer to prepare the concrete that it uses in its works. There are two models on the market that provide the same service and produce the same income, each with the following characteristics: mixer type Caterpillar Jhon Deere equipment cost 16,000 14,000 Annual income 8,000 8,000 Operating expenses/year of 1,800 2,200 useful life 5 years 5 years Which of the two mixers should the company buy if its opportunity rate is 13% per year?
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