ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Answer is not 23,000.

Need only a handwritten solution only (not a typed one).

A company has cost estimates associated with operating and maintaining the currently owned filter analysis
system as shown below. It is considering the acquisition of a replacement system that can identify residual
particles in industrial filters, report its findings, and archive images and information for future retrieval.
Determine the cost of keeping the current system one more year at an interest rate of 10% per year.
Year
0
1
2
3
Market Value $
23,000
O-23,000
O 24,000
O-24,000
30,000
25,000
14,000
10,000
O No correct answer
Operating Cost $
-15,000
-15,000
-15,000
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Transcribed Image Text:A company has cost estimates associated with operating and maintaining the currently owned filter analysis system as shown below. It is considering the acquisition of a replacement system that can identify residual particles in industrial filters, report its findings, and archive images and information for future retrieval. Determine the cost of keeping the current system one more year at an interest rate of 10% per year. Year 0 1 2 3 Market Value $ 23,000 O-23,000 O 24,000 O-24,000 30,000 25,000 14,000 10,000 O No correct answer Operating Cost $ -15,000 -15,000 -15,000
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