8. 8.8 Brittany is co-oping this semester at Regency Aircraft, which customizes the interiors of private and corporate jets. Her first assignment is to develop the specifications for a new machine to cut, shape, and sew leather or vinyl covers and trims. The first cost is not easy to estimate due to many options, but the annual revenue minus M&O costs should net out at $15,000 per year over a 10-year life. Salvage is expected to be 20% of the first cost. Determine what can be paid for the machine now to recover the cost at a MARR of 8% per year under two scenarios: I: No additional revenue will be received. II: Outside contracting will generate additional revenue estimated at $10,000 the first year, increasing by $5000 per year thereafter. Solve using

(a) tabulated factors, and

(b) a spreadsheet with the GOAL SEEK tool.