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Minor maintenance costs for a given machine are expected to be $5,000 per year for the first 5 years and $6,000 per year for the
Minor maintenance costs for a given machine are expected to be $5,000 per year for the first 5 years and $6,000 per year for the last 7 years of lifetime. ( machine has a life time of 12 years) Major maintenance is needed at a cost of $15,000 in year 6. What is the total equivalent annual maintenance cost for this machine if the MARR is 18% per year?
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