Jack is buying a furnace. He has two choices. A used one for $840 will last for 3 years; and a new one for $2100 will last for 6 years. Both will have scrap values of zero. Jack uses a MARR of 8%. If Jack decides to purchase the used furnace, how much does he save on a present worth basis compared to buying the new furnace? (Use PW analysis with repeated-lives. Assume the annual operating costs of the furnaces are the same).

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