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Your company is considering two equipment alternatives to increase its production volume. The respective financial estimates for each alternative are as follows. Data Equipment A
Your company is considering two equipment alternatives to increase its production volume. The respective financial estimates for each alternative are as follows.
DataEquipment AEquipment BInitial Investment$10K$101KAnnual Savings$10K$4KSalvage Value$9K$0
If the useful life of equipment A is 4 years, with a MARR of 10%, what is the useful life in years of equipment B that makes both equipment equally desirable?
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