What is the future worth of this investment

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Reference no: EM13886762

Carlisle Company has been cited and must invest in equipment to reduce stack emissions or face EPA fines of $18,500 per year. An emission reduction filter will cost $75,000 and have an expected life of 5 years. Carlisle's MARR is 10% per year.

a) what is the future worth of this investment?

b) what is the decision rule for judging the attractiveness of investments based on future worth?

c) is the filter economically justified?

Reference no: EM13886762

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