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The ans in kit is 246$.
even I got ans as 8690.
I will type question for you as It has never been asked in exam.
Q: A company buys a machine for $11000 & sells it for $2000 at time 3.running cost of the machine are time 1=$3000 ,time 2=$5000,time 3=$7000.
If a series of machines are bought ,run and sold on an infinite cycle of replacements,what is the equivalent annual cost of the machine if discount rate is 10%??
A. $22114
B. $8892
C. $246
D. $7371
Thank you v much
Thanks.
Can you please tell me how to calculate sales figure in this question
