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A company is contemplating replacing an older machine with a new efficient model. While the old unit continues to work, it requires frequent repairs (

A company is contemplating replacing an older machine with a new efficient model. While the old unit continues to work, it requires frequent repairs (averaging $680 per month) and is slow. In addition to being shiny, the new unit will not breakdown and has more power. Since these machines are used the entire year, the company owner is hoping a new machine makes financial sense.

The existing machine costs an average of $21 an hour to operate. A new unit can purchased $19500 and will cost an average of $15 per hour to operate. What is the crossover point in hours for these 2 options? (round your answer to the nearest whole number)


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