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Economic worth-present value method

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The details to purchase a new equipment are as follows:Initial cost = RM 120,000Life span = 20 yearsSalvage value = RM 45,000Annual profit = RM 50,000Annual maintenance = RM 10,000Major service expenditure (Every 6 years) = RM 15,000/ service Compound Interest Factor = 8%Analyse the economic worth of this investment using the Present Value Method and suggest whether to proceed or to cancel the investment plan.Compound Interest Table for 8%

Reference no: EM13867098

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