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Calculate annual worth of the chipper at 7 interest rate

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Reference no: EM132077254

Practice problem

Seven years ago a New Brunswick logging company purchased a used wood chipper for $170,600 for biomass and custom chipping. Operating and maintenance costs averaged $3,900 per year. A complete overhaul at the end of year 4 cost additional $11,000. Annual revenue from using the chipper was $38,000 per year. Calculate the annual worth of the chipper at 7% interest rate

(Note: Round your answer to 2 decimal places and do not use the $ sign in your answer)

Reference no: EM132077254

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