BOR/YR AINTENANCE/YR AXES/INSURANCE OWER/YR FE.YRS 11.6K 2.8K 3% of IST cost 1.3K 5 9.32K 1.9K 3% of IST cost 1.36K 5 4.2K 1.3K 3% of IST cost 2.4K 5 2K 0.7K 3% of IST c 2.020K 5
BOR/YR AINTENANCE/YR AXES/INSURANCE OWER/YR FE.YRS 11.6K 2.8K 3% of IST cost 1.3K 5 9.32K 1.9K 3% of IST cost 1.36K 5 4.2K 1.3K 3% of IST cost 2.4K 5 2K 0.7K 3% of IST c 2.020K 5
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
Problem 1PS
Related questions
Question
A man were employed in a company and the company tasked him to buy a new router to boost the connectivity with many networks switch. There are four available products to choose from with the ff cost data.

Transcribed Image Text:COST DATA
Brand A
В
D
FIRST COST
24K
30K
49.6K
52K
LABOR/YR
11.6K
9.32K
4.2K
2K
ΜAINΤΕΝAN CE/YR
TAXES/INSURANCE
2.8K
1.9K
1.3K
0.7K
3% of IST cost
3% of IST cost
3% of IST cost
3% of IST cost
POWER/YR
1.3K
1.36K
2.4K
2.020K
LIFE,YRS
5
5
5
If the cost of money is 17%, choose the best alternative that you will
Recommend using annual worth method.
а.
b.
Present your answer in matrix form.
C.
Show your computation on depreciation using sinking fund formula.
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