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A special equipment reduces defects by N10,000 per year on item A. this item is sold on contract for the next 5 years. After the

A special equipment reduces defects by N10,000 per year on item A. this item is sold on contract for the next 5 years. After the contract expires. The special equipment will save approximately N2000 per year for 5 more years. Assume that he machine has no salvage value at the end of 10 years. How much can you afford to pay for this equipment now, if you require 25% return on your investment

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