An company buys a color printer that will cost 18000 to buy


An company buys a color printer that will cost $18,000 to buy, and last 5 years. It is assumed that it will require servicing costing $500 each year. What is the equivalent annual annuity of this deal, given a cost of capital of 12%?

1) -$3983

2) -$4002

3) -$4957

4) -$5493

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Operation Management: An company buys a color printer that will cost 18000 to buy
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