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Maintenance $0 Famed gamer Tyler Ninja' Blevins is considering whether to replace his aging game console or to spend money on updating it. The replacement

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Maintenance $0 Famed gamer Tyler "Ninja' Blevins is considering whether to replace his aging game console or to spend money on updating it. The replacement console would cost $7,100 now and would need software updates of $900 to be paid at the end of every year for 6 years. At the end of 6 years, the replacement console can be salvaged for $3,200. The existing game console needs increasing amounts of software updates each year, and its salvage value is falling, as shown below. Year Salvage $2.400 $1,700 $1,500 (The existing console can be sold for $2,400 now. If it is sold in 1 year, the price will be $1,500. If the existing console is used between t= 0 and t=1, a software update costing $1700 must be paid at t-1.) Tyler Blevins faces an opportunity cost of capital of 8%. Expressed in Year 1 dollars, operating the old game console from t=0 tot 1 would cost Tyler Blevins operating the new game console from 0 tot 1. Now 1 more than

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