The Briggs and Stratton Commercial Division designs and manufacturers small engines forgolf turf maintenance equipment. A robotics-based testing system with support equipmentwill ensure that their new signature guarantee program entitled "Always Insta-Start"doesindeed work for every engine produced.

Pull SystemPush SystemFirst cost of equipment$-1,650,000$-2,750,000AOC per Year$-660,000$-660,000Salvage Value$100,000$70,000Estimated Life8 years,8 years

Determine the salvagevalue for the push system that will make the company indifferent to the twosystems. Also,MARR = 13% per year.

The salvage value for the push system is determined to be $in $1000 units.