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Please show your work. You are contemplating building another production line and you will evaluate the project based on a 20 year study period. The
Please show your work.
You are contemplating building another production line and you will evaluate the project based on a 20 year study period. The cash flows related to this project are the following Description Initial Cost Overhaul cost at the end of year 10 Operations and Maintenance costs per year Revenues per year Salvage value at the end of year 20 Cash Flow Type Amount $13,500 $1,020 $500 $2,650 $3,080 Real Actual Actual 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 FactorsStep by Step Solution
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