An international textile companys North AmericaDivision
Chapter 6, Problem 6.18(choose chapter or problem)
An international textile companys North AmericaDivision must decide which type of fabric cuttingmachines it will usestraight knife or round knife.The estimates are summarized below. Comparethem on the basis of annual worths values at i = 10%per year using (a) factors, and (b) single-cell spreadsheetfunctions.First cost, $ 250,000 170,000AOC, $/year 31,000 35,000Overhaul in year 2, $ 26,000Salvage value, $ 40,000 10,000Life, years 6 4
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