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A machine for a production line has an acquisition cost of $20,000. The market value of this equipment is expected to be as follows: Yr 1: 18,000 Yr 2: $17,200; YR 3: $16,500. Operation and maintenance costs start at $900 for the first year and are expected to increase by $150 per year. Assuming an interest rate of 10%, calculate the marginal cost of holding this asset during the first three years of its useful life.