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A printing firm is to acquire P10,000 worth of printing equipment with an expected life of 15 years. Auxiliary equipment that can be coupled with

A printing firm is to acquire P10,000 worth of printing equipment with an expected life of 15 years. Auxiliary equipment that can be coupled with the printing equipment can reduce operating costs by P10,000 annually. If the firm has a 25% cost of capital, what must the maximum cost be for the auxiliary equipment?

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