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Transport design is shopping for new equipment managers are

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Transport design is shopping for new equipment. managers are considering 2 investments. equipment manufactured by Rouse, Inc., costs $1,020,000 and will last for 5 years, no residual value, annual operating income = $265,000. equipment manufactured by Vargas, Co. costs $1,240,000, remain useful for 6 years, annual operating income $230,000, expected residual value=$100,000.Which equipment offers the higher ARR?

Reference no: EM13601850

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Transport design is shopping for new equipment managers are : transport design is shopping for new equipment. managers are considering 2 investments. equipment manufactured by rouse
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