Ex1: Initial investment for a machine is $9,000 and its expected market value, annual operational, and maintenance expenses in each year are as given. Interest rate is 5 percent per year. What is the economic life of the machine? End Market Values ($) AO&ME MC($) EUAC($) 0 1 N | 3 4 5 6 9000 5000 3000 2500 2000 1750 1650 1550 1450 1350 1250 500 800 1000 2000 3500 4000 4500 5000 5500 6000 7 8 9 10 Ex1: Initial investment for a machine is $9,000 and its expected market value, annual operational, and maintenance expenses in each year are as given. Interest rate is 5 percent per year. What is the economic life of the machine? End Market Values ($) AO&ME MC($) EUAC($) 0 1 N | 3 4 5 6 9000 5000 3000 2500 2000 1750 1650 1550 1450 1350 1250 500 800 1000 2000 3500 4000 4500 5000 5500 6000 7 8 9 10