Consider a piece of equipment for which the expenditure at the beginning of period 1 is $20,000

The net revenue at the end of year 1 is $5,000

The net revenue at the end of year 2 is $7,000

The net revenue at the end of year 3 is $5,000, which includes salvaging the equipment.

The interest rate is 6%.

What is the annuity payment occurring at the end of years 1, 2, and 3 that has the same net present value as net present value of the investment if the annuity factor is given by

(11(1+))=(11(1.06)3.06)= 2.673