ENGR.ECONOMIC ANALYSIS
ENGR.ECONOMIC ANALYSIS
14th Edition
ISBN: 9780190931919
Author: NEWNAN
Publisher: Oxford University Press
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The maintenance costs of a piece of equipment are expected to be S1500 at the end of the first year and expected to increase by S125 each year through year seven.
Assuming an interest rate of 10%.
Match the following questions with the closest correct answers from the given list
What is the present worth of base amount?
A. $1595
B. $1280
What is the present worth of gradient amount?
C. $7302
What is the present worth of maintenance costs?
D. $294
, What is the equivalent annual cost?
E. S435.24
F. S8898
G. S1827
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Transcribed Image Text:The maintenance costs of a piece of equipment are expected to be S1500 at the end of the first year and expected to increase by S125 each year through year seven. Assuming an interest rate of 10%. Match the following questions with the closest correct answers from the given list What is the present worth of base amount? A. $1595 B. $1280 What is the present worth of gradient amount? C. $7302 What is the present worth of maintenance costs? D. $294 , What is the equivalent annual cost? E. S435.24 F. S8898 G. S1827
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