9

ignore VTEPS and the BRG is just the project you are working on

VTEPS, Inc. is planning to purchase a piece of equipment that is expected to last 50 years. Maintenance costs are $1,000 each year for the first S years, followed by a $10,000 cost at the end of year 15 and a $10,000 cost at the end of year 30. Using an interest rate of 10% per year, what amount should VTEPS, Inc. budget on an annual basis for all 50 years