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What is the present worth cost in the beginning of 2020 dollars using a real rate of return of 9.0% of a machine costing 140,000
What is the present worth cost in the beginning of 2020 dollars using a real rate of return of 9.0% of a machine costing 140,000 based on the forecasted actual costs in each year of operation stated in those period dollar amounts is as shown below and the assumed inflation used in preparing the estimates is 20.5%.
Operating Cost 2020 | Operating Cost 2021 | Operating Cost 2022 | Operating Cost 2023 | Operating Cost 2024 | Operating Cost 2025 |
8,000 | 12,400 | 15,600 | 20,500 | 23,800 | 19,800 |
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