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Assume that the acquisition cost and expected useful life of a computer system are $5,000 and 6 years, respectively. The computer systems expected number of

Assume that the acquisition cost and expected useful life of a computer system are $5,000 and 6 years, respectively. The computer systems expected number of failures per million hours is 80 and its only ownership cost is the cost of corrective maintenance. Calculate the life cycle cost of the computer system, if the cost of each corrective maintenance call is $150 and the annual discount or interest rate is 6%.

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