What is the economic service life of the investment

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A company spent $172,000 to upgrade some machines.

The operating costs are $74,000/year for the first 3 years then $105,000/year the following 3 years.

The salvage value is estimated to be $70,000 the first 3 years, then essentially nothing after that. i = 10%

What is the economic service life of the investment?

Reference no: EM131098375

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