A company just purchased an intelligent robot, which has a first cost of $284,000. Since the robot is unique in its capabilities, the company expects to be able to sell it in 4 years for $200,000. NOTE: This is a multi-part question. Once an answer is submitted, you will be unable to return to this part. If M&O costs are $100,000 per year, determine the MACRS depreciation in year 3. Assume the recovery period for robots is 5 years and the MARR is 12% when the inflation rate is 4% per year. The MACRS depreciation in year 3 is $ 102240 8

A company just purchased an intelligent robot, which has a first cost of $284,000. Since the robot is unique in its capabilities, the company expects to be able to sell it in 4 years for $200,000. NOTE: This is a multi-part question. Once an answer is submitted, you will be unable to return to this part. If M&O costs are $100,000 per year, determine the MACRS depreciation in year 3. Assume the recovery period for robots is 5 years and the MARR is 12% when the inflation rate is 4% per year. The MACRS depreciation in year 3 is $ 102240 8

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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