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What is the equivalent annual cost of the cadillac cleaner

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Reference no: EM131999155

Consider a factory that must have an air cleaner that is mandated by law. The "Cadillac cleaner" costs $2,000 today, has annual operating costs of $200, and lasts 5 years.

Assuming a 10% discount rate, what is the equivalent annual cost (EAC) of the Cadillac cleaner?

Reference no: EM131999155

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