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Other Fields Homework Help Economics Topic started by: cloveb on Mar 8, 2017



Title: You are considering the purchase of new equipment for your company and you havenarrowed down the ...
Post by: cloveb on Mar 8, 2017
You are considering the purchase of new equipment for your company and you havenarrowed down the possibilities to two models which perform equally well. However, themethod of paying for the two models is different. Model A requires $5,000 per year paymentfor the next five years. Model B requires the following payment schedule. Which model shouldyou buy if your opportunity cost is 8 percent?

Year             Payment (Model B)
1                  $7,000
2                  $6,000
3                  $5,000
4                  $4,000
5                  $3,000


Title: Re: You are considering the purchase of new equipment for your company and you havenarrowed down the ...
Post by: bolbol on Mar 9, 2017
Content hidden


Title: Re: You are considering the purchase of new equipment for your company and you havenarrowed down the ...
Post by: gs3 on May 8, 2020
Thanks


Title: Re: You are considering the purchase of new equipment for your company and you havenarrowed down the ...
Post by: evangily on Nov 5, 2021
thank you