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The Material Handling and Shipping company wants to replace their fleet of 15 fork trucks with new ones with better safety features and higher reliability.
The Material Handling and Shipping company wants to replace their fleet of 15 fork trucks with new ones with better safety features and higher reliability. The new fork trucks will have the following characteristics: Initial cost per truck $82, 800 Annual Maintenance Cost per truck: $3, 300 per year increasing by $1,000 per year Batteries will need to be replaced in year 3 and 6 at a cost of $8, 300 each (1 per truck plus 5 spares) If the company's MARR is 12%, what is the Annual Equivalent cost of this project
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