Compute the future worth of this endeavor

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Acme Appliances plans to update their manufacturing capacity with new machinery according to the forecasted data shown in the following table. Compute the future worth of this endeavor.

Initial Cost: $118,000

O&M Cost (1st 4 years): $5,000

O&M Cost Increase (Years 5+): $500 per Year

Projected Annual Revenues: $35,000

Salvage Value: 5% of Initial Cost

MARR: 15%

Useful Life: 12 Years

Reference no: EM131535915

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