What is the total present worth of the savings

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Reference no: EM13800468

A marine equipment manufacture is considering replacing its wired pendant controllers on its heavy-duty cranes with new portable infrared keypad controllers. The company expects to achieve a cost savings of $4,500 the first year and amounts increasing by $800 each year thereafter for the next 5 years. At an interest rate of 10% per year, what is the total present worth of the savings?

Reference no: EM13800468

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