Did the equipment purchase prove to be desirable

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A firm purchased some equipment at a very favorable price of $30,000. The equipment resulted in an annual net saving of $1000 per year during the 8 years it was used. At the end of 8 years, the equipment was sold for $40,000. Assuming interest at 8%, did the equipment purchase prove to be desirable?

Reference no: EM131385552

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