Considering to acquire new equipment

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ABC industries Inc is considering to acquire a new equipment. The required initial investment is estimated to be $325,000. Projected retruns over the projects five year life are; $82,500.00 , 88,475.00, 75,680.00 , 95,625.00 and 97,525.00 respectively. You have been asked by the company CEO to evaluate the economic merit of acquistion at firms MARR 9%. Determine whether the project is acceptable.

Reference no: EM131392960

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