Question 1:+ What is the equivalent annual cost in years 1 through 7 of a contract that has a first cost of $70,000 in year O and annual costs of $15,000 in years 3 through 7? Use (a) an interest rate of 10% per year, and (b) first estimate the final worth and then calculate the equivalent annual cost.|

Question 1:+ What is the equivalent annual cost in years 1 through 7 of a contract that has a first cost of $70,000 in year O and annual costs of $15,000 in years 3 through 7? Use (a) an interest rate of 10% per year, and (b) first estimate the final worth and then calculate the equivalent annual cost.|

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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