Business, 23.03.2020 21:09 lohnnaw4813
Your company is interested in purchasing a new mini 3D printer to use for product demonstrations. You've identified three suitable alternatives, each with different maintenance and periodic upgrade costs. If you select "Model A" it will cost $5,500 to purchase the printer and will require a one time upgrade in year 3 that will cost $1,500. If you select this model then you expect to receive $2,600 in revenue each year (years 1 through 4). If you select "Model B" it will cost $3,600 to purchase the printer today. This model will require two upgrades, a software upgrade in year 1 which will cost $950 and a hardware upgrade in year 3 which will cost $1,200. However, if you purchase this model it will provide $2,400 in revenue each year (years 1 through 4). Both options will provide four years of productive use. Which of these options (Model A or B) would be the best option for your company to purchase? Assume that MARR = 10%.
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Your company is interested in purchasing a new mini 3D printer to use for product demonstrations. Yo...
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