Question
. An electronics store is considering the purchase of software, which will minimize shipping costs. The software costs $10,000,000, including installation and training costs. If
. An electronics store is considering the purchase of software, which will minimize shipping costs. The software costs $10,000,000, including installation and training costs. If the interest rate is 15% per year and the useful life of the software is 4 years, with a salvage value of $50,000, what is the amount of annual savings that justifies the purchase of the software?
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Intermediate Financial Theory
Authors: Jean-Pierre Danthine, John B. Donaldson
2nd Edition
0123693802, 978-0123693808
