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The maintenance cost for a piece of equipment is estimated to be $10,000 per year in base-year dollars (assume b=0). The total price escalation rate
The maintenance cost for a piece of equipment is estimated to be $10,000 per year in base-year dollars (assume b=0). The total price escalation rate is estimated to be 7.6% for the next four years and for years 5 and 6 is estimated to be 9.3%. What is the estimated maintenance cost in R$ at the end of year 6, if f=4.7% per year for the next 6 years? Less than $11,000 Between $11,000-11,500 Between $11,500-12.000 Higher than $12,000
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