Following net cash flows and abandonment values

Reference no: EM131104072

1. A small high-speed commercial centrifuge has the following net cash flows and abandonment values over its useful life (see Table P9-15, p. 439).

The firm's MARR is 10% per year. Determine the optimal time for the centrifuge to be abandoned if its current MV is $7,500 and it won't be used for more than five years.

Reference no: EM131104072

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