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3. Compute the life cycle cost (or present cost) of a reciprocating compressor with first cost of $120,000. The annual maintenance cost is $5000, but

3. Compute the life cycle cost (or present cost) of a reciprocating compressor with first cost of $120,000. The annual maintenance cost is $5000, but at the end of four years, it increases by $500*(1+0.1f) per year. The salvage value is $25,000, and life of ten years. The rate of return is 10%. f=8

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