Determine the net present worth of the equipment

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A company plans to invest $12,000 dollars on new equipment with an 8 year life to reduce operating costs. It is estimated that the savings will be $4,000 the first year but decrease by $400 each year for the remainder of the equipment's life. Determine the net present worth (NPW) of the equipment at 8% interest. Express your answer in $ to the nearest $10.

Reference no: EM131009786

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