Compare Machines A and B by using the MARR = 12% Machine A Machine B First Cost $12,000 $19,000 Annual Operating Cost $1000 $800 Additional maintenance $500 $400 cost every 2 years Salvage Value $2,000 $4,000 Life 8 years 12 years Problem 2: (25 points) Comare Machines A and B on the basis of present worth analysis by using the MARR = 10% Machine A Machine B First Cost $20,000 $10,000 Annual Operating Cost $2,000 $3,000 Salvage Value $4,000 $2,000 Life 6 years 3 years
Compare Machines A and B by using the MARR = 12% Machine A Machine B First Cost $12,000 $19,000 Annual Operating Cost $1000 $800 Additional maintenance $500 $400 cost every 2 years Salvage Value $2,000 $4,000 Life 8 years 12 years Problem 2: (25 points) Comare Machines A and B on the basis of present worth analysis by using the MARR = 10% Machine A Machine B First Cost $20,000 $10,000 Annual Operating Cost $2,000 $3,000 Salvage Value $4,000 $2,000 Life 6 years 3 years
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
Related questions
Question
Don't treat uniform or gradient payments as single payment and answer whatever you can please

Transcribed Image Text:Compare Machines A and B by using the MARR = 12%
Machine A
Machine B
First Cost
$12,000
$19,000
Annual Operating Cost
$1000
$800
Additional maintenance
$500
$400
cost every 2 years
Salvage Value
$2,000
$4,000
Life
8 years
12 years
Problem 2: (25 points)
Comare Machines A and B on the basis of present worth analysis by using the MARR = 10%
Machine A
Machine B
First Cost
$20,000
$10,000
Annual Operating Cost
$2,000
$3,000
Salvage Value
$4,000
$2,000
Life
6 years
3 years
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