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Please show and explain the solution 2/ 2 points Question 6 You are contemplating building another production line and you will evaluate the project based
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2/ 2 points Question 6 You are contemplating building another production line and you will evaluate the project based on a 20 year study period. The cash flowss related to this project are the following Cash Flow Type Description Amount Initial Cost $13,500 Overhaul cost at the end of year 10 Real $1,020 Operations and Maintenance costs per year $500 Actual Revenues per year $2,650 Actual Salvage value at the end of year 20 $3,080 Real Your company uses a real MARR of 8.5% and inflation is predicted to average 2.3% per year over the next 20 years. Calculate the Present Worth of the investment rounded to the nearest penny and remember to use all four decimal places for the Interest Factors. Answer: 377.56 (3,777.56)Step by Step Solution
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