Smart Crush Super Crush Savage Crush $52,000 15,000 Annual benefits 38,000 S63,000 9,000 First cost $105,000 O&M costs |12,000 31,000 19,000 37,000 Salvage value Useful life 13,000 22,000 4 years 6 years 12 years

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
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The following data are associated with three grape-crushing machines under consideration by Rabbit Ridge Wineries LLC.
If Rabbit Ridge uses a MARR of 12%, which alternative, if any, should be chosen?

Smart Crush Super Crush Savage Crush
Transcribed Image Text:Smart Crush Super Crush Savage Crush
$52,000
15,000
Annual benefits 38,000
S63,000
9,000
First cost
$105,000
O&M costs
|12,000
31,000
19,000
37,000
Salvage value
Useful life
13,000
22,000
4 years
6 years
12 years
Transcribed Image Text:$52,000 15,000 Annual benefits 38,000 S63,000 9,000 First cost $105,000 O&M costs |12,000 31,000 19,000 37,000 Salvage value Useful life 13,000 22,000 4 years 6 years 12 years
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