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Andrew is considering buying a new taming tractor for his farm. He has a choice between a John Deere XP tractor and a Sunflower-FT tractor.
Andrew is considering buying a new taming tractor for his farm. He has a choice between a John Deere XP tractor and a Sunflower-FT tractor. Andrew has a MARR of 8%. John-Deere-XP: First Cost S150,000 Life: 10 years, zero salvage value at the end of 10 years Annual Expense (maintenance, charging, etc.) $3,000 Sunflower-FT First Cost $200,000 Life: 15 years, zero salvage value at the end of 15 years. Annual Expense (maintenance, charging, etc.) $3,500. For a 10-year study period, what salvage value for the extra 5 years of tite for Sunflower-FT would result in that both tractors are equivalent in Present Worth? 580,015.8 $115,190 587,7341 $96.133.6 $105.266
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