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Please Show the steps to reproduce the result Your firm is trying to decide with one of two digital documentation systems to purchase. System A
Please Show the steps to reproduce the result
Your firm is trying to decide with one of two digital documentation systems to purchase. System A has a cost of $160 today. It will cost $60 per year to operate the system for the next 3 years. System B has a cost today of $130. It will cost $68 per year year to operate the system for the next 2 years. The required rate of return is 10% compounded annually. What is the equivalent annual annuity for system A? Your answer should be accurate to two decimal places.
Answer: -$124.34
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