What is the annual worth of the savings over the next year

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A utility company provides stand by power using diesel poweredgenerators. An alternative has been developed using natural gas butthe gas will not be available for 3 years. By switching to gas theywill save 13,000 per year for 10 years starting three years fromtoday . At an interest rate of 6% what is the annual worth of thesavings over the next 12 years.

Reference no: EM13243772

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