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Maintenance expenditures for equipment with a 20 year life will come as periodic outlays for overhaul of $1,250 at the end of the 5th year,
Maintenance expenditures for equipment with a 20 year life will come as periodic outlays for overhaul of $1,250 at the end of the 5th year, $2,500 at the end of the 10th year and $3,750 at the end of the 15th year. With interest at 5% what is the equivalent uniform annual cost for the 20 year period. For problem Seven, if the original cost of the equipment is $17,500 and the salvage value at the end of the 20 year life is $4,500 what is the present worth of the entire 20 year enterprise? For problem Eight, what is the minimum income, on a yearly basis, that must be generated by the enterprise to guarantee that a profit can be made on the venture
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