MARR is 12%. Suppose the cotermination assumption is made.

Machine A: Capital Investment: $58,000 Useful Life: 8 years Market Value at the End of Life: $4,000 Annual Revenues: $261,000 Annual Expenses: $203,000 Machine B: Capital Investment: $20,000 Useful Life: 15 years Market Value at the End of Life: $2,000 Annual Revenues: $90,000 Annual Expenses: $70,000 Machine C Capital Investment: $55,000 Useful Life: 6 years Market Value at the End of Life: $4,000 Annual Revenues: $247,500 Annual Expenses: $192,500 Machine A: Capital Investment: $58,000 Useful Life: 8 years Market Value at the End of Life: $4,000 Annual Revenues: $261,000 Annual Expenses: $203,000 Machine B: Capital Investment: $20,000 Useful Life: 15 years Market Value at the End of Life: $2,000 Annual Revenues: $90,000 Annual Expenses: $70,000 Machine C Capital Investment: $55,000 Useful Life: 6 years Market Value at the End of Life: $4,000 Annual Revenues: $247,500 Annual Expenses: $192,500