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What is the equivalent annual annuity of the costs

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Question - A machine that costs of $18,000 has an estimated useful life of 8 years. The machine will require servicing at a contracted rate of $1,000 per year. If the appropriate cost of capital is 9%, what is the Equivalent Annual Annuity (EAA) of the costs associated with this machine?

Reference no: EM133160795

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