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A new wave-soldering machine is expected to save Brisbane Circuit Boards $15,000 per year through reduced labour costs and increased quality. The device will have
A new wave-soldering machine is expected to save Brisbane Circuit Boards $15,000 per year through reduced labour costs and increased quality. The device will have a life of eight (8) years, and have a salvage value of $20,000. at the end of the 8th year (salvage value means the used machine can be sold in the open market). If the company can generally expect to get 12%return on its capital, how much could it afford to pay for the wave-soldering machine?
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