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ABC is trying to decide between two machines which are necessary in their manufacturing facility. Data concerning the two machines are presented below. If ABC
ABC is trying to decide between two machines which are necessary in their manufacturing facility. Data concerning the two machines are presented below. If ABC has an interest rate of 10%, which machine should be chosen? First Cost Annual Operating costs Machine A $42.000 $6,000 Machine B $80.000 $7,000 year 1. increasing by $1000 per year $4.000 $ 4 years Salvage Value Useful Life 0 2 years
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