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You are considering investing RM66000 in new equipment. You estimate that the net cash flows will be RM13000 during the first year, but will

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You are considering investing RM66000 in new equipment. You estimate that the net cash flows will be RM13000 during the first year, but will increase by RM2500 per year the next year and each year thereafter. The equipment is estimated to have a 8-year service life and a net salvage value of RM5500 at that time. Assume MARR of 10%. a. Calculate the annual capital cost CR (ownership cost) for the equipment. [ b.Determine the equivalent annual revenue. c.Is this a wise investment? Y/N. Format: 69925 Format: 50905 Format : A

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