Two automobiles will have same operating costs

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"You are considering two types of automobiles. Model A costs $19,000 and model B costs $16,775. Although the two models are essentially the same, after 7 years of use, model A can be sold for $9,500, while model B can be sold for $6,000. Model A commands a better resale value because its styling is popular among young college students. The two automobiles will have the same operating costs. What value of MARR would make you indifferent between the two models?

Reference no: EM131908078

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