Question
Your company is considering purchasing a small $100,000 CNC machine that is expected to cost $5,000 a year in maintenance but provide $35,000 in benefit.
Your company is considering purchasing a small $100,000 CNC machine that is expected to cost $5,000 a year in maintenance but provide $35,000 in benefit. The machine will be in use for 10 years and salvaged at the end of 10 years for $20,000. At MARR = 10%, what is the present value of the investment?
A.(-$8,818)
B.$83,680
C.$92,048
D.$220,000
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Computer Accounting With Peachtree Complete 2011
Authors: Carol Yacht, Peachtree Software
15th Edition
007811098X, 978-0078110986
