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You are evaluating two different cookie-baking ovens. The Pillsbury 707 costs $69,500, has a 5-year life, and has an annual OCF (after-tax) of-$11,200 per year.
You are evaluating two different cookie-baking ovens. The Pillsbury 707 costs $69,500, has a 5-year life, and has an annual OCF (after-tax) of-$11,200 per year. The Keebler CookieMunster costs $96,000, has a 7-year life, and has an annual OCF (after-tax) of-$9,200 per year. If your discount rate is 12 percent, what is each machine's EAC? (Negative amounts should be indicated by a minus sign. Round your answers to 2 decimal places.) Answer is complete but not entirely correct. EAC $30,479.97 Pillsbury 707 Keebler CookieMunster30,235.30
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