Basics of Engineering Economy 1st Edition by Leland Blank,Anthony Tarquin

Exercise 4

Arctic and Antarctic regions are harsh environments in which to take data.A TempXZ 3000 portable temperature recorder can take and store 32,767 measurements at ?40°C to 150°C.A research team from the University of Nova Scotia needs 20 of the recorders, and they are trying to decide whether they should buy them now at $49 each or purchase them 2 years from now, which is when they will be deployed.At an interest rate of 8% per year, how much will the 20 recorders have to cost in 2 years to render their decision indifferent?