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Engineering Economy 7th Edition by Leland Blank ,Anthony Tarquin
Edition 7ISBN: 978-0073376301Engineering Economy 7th Edition by Leland Blank ,Anthony Tarquin
Edition 7ISBN: 978-0073376301 Exercise 28
An engineer with Haliburton calculated the AW values shown for a presently owned machine by using estimates he obtained from the vendor and company records. 
A challenger has an economic service life of 7 years with an AW of $-86,000 per year. Assume that used machines like the one presently owned will always be available and that the MARR is 12% per year. If all future costs remain as estimated for the analysis, the company should purchase the challenger:
A) Now
B)After 2 years
C) After 3 years
D) Never
A challenger has an economic service life of 7 years with an AW of $-86,000 per year. Assume that used machines like the one presently owned will always be available and that the MARR is 12% per year. If all future costs remain as estimated for the analysis, the company should purchase the challenger:A) Now
B)After 2 years
C) After 3 years
D) Never
Explanation
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The economic service life is the life of...
Engineering Economy 7th Edition by Leland Blank ,Anthony Tarquin
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