Statistics Solutions

(All Steps) A new CNC machine costs $50,000. Operating, maintenance and repair costs are $10,000 for the first year, $25,000 for the second year, $40,000

Question: A new CNC machine costs $50,000. Operating, maintenance and repair costs are $10,000 for the first year, $25,000 for the second year, $40,000 for the third year and $55,000 for the fourth year. The MARR is 10%. What is the equivalent uniform annual cost (EUAC) if the machine is kept for four years?

  1. $10,000
  2. $12,500
  3. $45,000
  4. $46,500
  5. $55,000 .

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Solution: The downloadable solution consists of 1 pages
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