The O & M (operation and maintenance) cost of equipment is given in the table below. Determine the EUAC of the year 5.Assume a MARR of 7%.Year12345O & M Cost$10,0009,000$8,000$7,000$9,000 Group of answer choices$8,188.45$9,149.87$8,656.70$7,168.52

Step 1: Calculate the present worth (PW) of the O&M costs for each year.PW = Cost / (1 +…

Answered: The O & M (operation and maintenance)…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Year	1	2	3	4	5
O & M Cost	$10,000	9,000	$8,000	$7,000	$9,000

The O & M (operation and maintenance) cost of equipment is given in the table below. Determine the EUAC of the year 5. Assume a MARR of 7%. Year 1 2 3 4 5 O & M Cost $10,000 9,000 $8,000 $7,000 $9,000 Group of answer choices $8,188.45 $9,149.87 $8,656.70 $7,168.52