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round to 2 decimals places please A firm is considering replacing the existing industrial air conditioning unit. They will pick one of two units. The
round to 2 decimals places please
A firm is considering replacing the existing industrial air conditioning unit. They will pick one of two units. The first, the AC360, costs $26,348.00 to install, $5,037.00 to operate per year for 7 years at which time it will be sold for $6,954.00. The second, RayCool 8, costs $41,458.00 to install, $2,088.00 to operate per year for 5 years at which time it will be sold for $8.955.00. The firm's cost of capital is 5.73%. What is the equivalent annual cost of the RayCool8? Assume that there are no taxesStep by Step Solution
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