The particulars of pump A and B are listed in the table below. Which pump should be bought given an effective annual interest rate of 9%. Description Initial Cost ($) End-of-Uueful-life salvage value ($) Estimated Annual Benefits ($) Pump A 5000 Pump B 8000 2000 1000 6. 9.

Structural Analysis
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The particulars of pump A andB are listed in the table below. Which pump should be bought
given an effective annual interest rate of 9%.
Description
Initial Cost ($)
End-of-Uueful-life salvage value ($)
Estimated Annual Benefits ($)
Pump A
5000
Pump B
8000
1000
2000
6.
9.
Transcribed Image Text:The particulars of pump A andB are listed in the table below. Which pump should be bought given an effective annual interest rate of 9%. Description Initial Cost ($) End-of-Uueful-life salvage value ($) Estimated Annual Benefits ($) Pump A 5000 Pump B 8000 1000 2000 6. 9.
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