Required information The Briggs and Stratton Commercial Division designs and manufacturers small engines for golf turf maintenance equipment. A robotics-based testing system with support equipment will ensure that their new signature guarantee program entitled "Always Insta- Start" does indeed work for every engine produced. First cost of equipment AOC per Year Salvage Value Estimated Life Pull System $-1,550,000 $-620,000 $90,000 8 years Push System $-2,650,000 $-620,000 $50,000 8 years Compare the annual worth of the two systems at MARR = 11% per year. Select the better system. The (Click to select) is determined to be the better system. (Click to select)

ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN:9780190931919
Author:NEWNAN
Publisher:NEWNAN
Chapter1: Making Economics Decisions
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Required information
The Briggs and Stratton Commercial Division designs and manufacturers small engines
for golf turf maintenance equipment. A robotics-based testing system with support
equipment will ensure that their new signature guarantee program entitled "Always Insta-
Start" does indeed work for every engine produced.
First cost of
equipment
AOC per Year
Salvage Value
Estimated Life
Pull System
$-1,550,000
$-620,000
$90,000
8 years
Push System
$-2,650,000
$-620,000
$50,000
8 years
Compare the annual worth of the two systems at MARR = 11% per year. Select the better system.
The (Click to select) is determined to be the better system.
(Click to select)
pull system
push system
Transcribed Image Text:! Required information The Briggs and Stratton Commercial Division designs and manufacturers small engines for golf turf maintenance equipment. A robotics-based testing system with support equipment will ensure that their new signature guarantee program entitled "Always Insta- Start" does indeed work for every engine produced. First cost of equipment AOC per Year Salvage Value Estimated Life Pull System $-1,550,000 $-620,000 $90,000 8 years Push System $-2,650,000 $-620,000 $50,000 8 years Compare the annual worth of the two systems at MARR = 11% per year. Select the better system. The (Click to select) is determined to be the better system. (Click to select) pull system push system
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