A new CNC lathe machine requires an investment of $300,000 today and it returns $69,000 per year for the next 10 years. If the MARR is 15%, what is the present equivalent cost of the machine? a. 14,017 O b. 46,311 O. 113,679 od 33,274
A new CNC lathe machine requires an investment of $300,000 today and it returns $69,000 per year for the next 10 years. If the MARR is 15%, what is the present equivalent cost of the machine? a. 14,017 O b. 46,311 O. 113,679 od 33,274
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![A new CNC lathe machine requires an investment of $300,000 today and it returns $69,000 per year for the
next 10 years. If the MARR is 15%, what is the present equivalent cost of the machine?
a. 14,017
O b. 46,311
O c. 113,679
O d. 33,274](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F833f0475-16a6-4820-8f65-32863c7e4276%2F484f4b5d-5c03-40b6-a4ee-f41d78d5fd3d%2Ft6j6i8v_processed.jpeg&w=3840&q=75)
Transcribed Image Text:A new CNC lathe machine requires an investment of $300,000 today and it returns $69,000 per year for the
next 10 years. If the MARR is 15%, what is the present equivalent cost of the machine?
a. 14,017
O b. 46,311
O c. 113,679
O d. 33,274
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