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please show in details with full equations One year ago machine A was purchased for $15,000, to be used for five years. The machine has
please show in details with full equations
One year ago machine A was purchased for $15,000, to be used for five years. The machine has not performed as expected and costs $750 per month for repairs, adjustments and down-time. Machine B. designed to perform the same functions, can be purchased for $25,000 with monthly costs of $75. The expected life of machine B is five years. Operating costs are substantially equal for the two machines and salvage values are negligible. Using 6% the incremental annual net equivalent of machine B is nearest t $2,165 $2,886 $4,539 $5,260Step by Step Solution
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