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Use Excel to solve A metalworking company has decided to invest a new CNC machine from among three alternatives: each has life of 10 years:
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A metalworking company has decided to invest a new CNC machine from among three alternatives: each has life of 10 years: Conduct a present worth of cost analysis for the following problem and fill in the information requested. Assume the interest rate is 10% Alternative Delxe Regular Economy Initial Cost $200,000 $130,000 $70,000 Annual Benefit 80,000 45,000 28,000 Annual O&M Costs 40,000 15,000 10,000 Salvage Value 15,000 10,000 3,000 1 . Construct a choice table from 0% to 100% Decision (Do-nothing, Deluxe, Economy, Regular) [A2] [A5] [A8] Interest Rate 0 MARR [A1] [A6]MARR[A7] 2. MARR = 15%. Using the above choice table, which alternative, if any, should the company choose? [A11] (enter Do-nothing, Deluxe, Economy, or Regular)Step by Step Solution
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