Wolkswagen has purchased a new part for $9,000 to use in their business. The new...
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Wolkswagen has purchased a new part for $9,000 to use in their business. The new part is being depreciated with a straight line depreciation schedule of four years. The market value of the new part drops 20% every year. The new part has an annual Opreational&Maintenance cost which is $5,000 in year 1 and which increases by 10% every year. If the annual income tax of Wolkswagen is 40% and the annual after-tax MARR of Wolkswagen is 12%, what is the EUAC( equivalent uniform annual cost) of the new part in its economic life?
Please please consider increasing and decreasing situations. if the solution is long, it would be nice for me if you could tell me the logic of the problem. But please don't just put it in a formula and send the wrong solution. I saw a similar question on the site. but the answer to that question is wrong. please don't send an answer to that question. Because another time I sent a similar question, it was written without even changing the numbers of the wrong solution that was solved.
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