
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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Transcribed Image Text:For the cash flows shown, determine the incremental cash flow between machines B
and A for (a) year 0, (b) in year 3, and (c) in year 6.
Machine
First Cost, $
АОС, $/year
Salvage value, $ 3,000
Life, years
B
-15,000 -25,000
-1,600
-400
6,000
3
4
O (a) = -10000 (b) = -1800 (c) = 1200
%3D
!3!
O (a) = -10000 (b) = 13200 (c) = 4200
!3!
%3!
O (a) = -10000 (b) = 13200 (c) =6000
%3!
%3D
O (a) = -10000 (b) = 13200 (c) = 13200
%3D
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