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Determine the equivalent uniform annual cost of a machine costing $4,000 with a life of 10...

Determine the equivalent uniform annual cost of a machine costing $4,000 with a life of 10 years and a salvage value of $300 (at year 10). Its operating expenses are $500 per years and your cost of capital is 12%.

a. $1208

b. $1191

c.$930

d.$900

e. None of these are correct.

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Answer #1

B is right option

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