Airodyne Wind, Inc., has wind tunnels that can operate vertically or horizontally for evaluating the effects of air flow on a component's PCB response and reliability. The company expects to build a new tunnel that will be outfitted with multiple sensor ports. For the estimates below, calculate the equivalent annual cost of the project. First Cost S-740,000 Replacement Cost, Year 2 S-380,000 AOC per Year S-920,000 Salvage Value $255,000 Life, Years 5 Interest Rate 14% The equivalent annual cost of the project is $

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Airodyne Wind, Inc., has wind tunnels that can operate vertically or horizontally for evaluating the effects of air flow on a component's PCB response and reliability. The company expects to build a new tunnel that will be outfitted with multiple sensor
ports. For the estimates below, calculate the equivalent annual cost of the project.
First Cost S-740,000
Replacement Cost, Year 2 S-380,000
AOC per Year S-920,000
Salvage Value $255,000
Life, Years 5
Interest Rate 14%
The equivalent annual cost of the project is $
Transcribed Image Text:Airodyne Wind, Inc., has wind tunnels that can operate vertically or horizontally for evaluating the effects of air flow on a component's PCB response and reliability. The company expects to build a new tunnel that will be outfitted with multiple sensor ports. For the estimates below, calculate the equivalent annual cost of the project. First Cost S-740,000 Replacement Cost, Year 2 S-380,000 AOC per Year S-920,000 Salvage Value $255,000 Life, Years 5 Interest Rate 14% The equivalent annual cost of the project is $
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