Find the AW value for the defender and the the AW value of the challenger. Both negative values.

Problem 9-24 (algorithmic) Question Help Five years ago, a company in New Jersey installed a diesel-electric unit costing $50,000 at a remote site because no dependable electric power was available from a public utility. The company has computed depreciation by the straight-line method with a useful life of 10 years and a zero salvage value. Annual operation and maintenance expenses are $15,000, and property taxes and insurance cost another $2,700 per year Dependable electric service is now available at an estimated annual cost of $35,000. The company in New Jersey wishes to know whether it would be more economical to dispose of the diesel-electric unit now, when it can be sold for $37,000, or to wait five years when the unit would have to be replaced anyway (with no M The company has an effective income tax rate of 40% and tnes to limit its capital expenditures to opportunities that will earn at least % per year after income taxes. What would you recommend? Click the icon to view the interest and annuity table for discrete compounding when MARR-10% per year. P The AW value for the defender is S (Round to the nearest dollar)