A city is spending $20.3 million on a new sewage system. the expected life of the system is 50 years. and it will have no market value at the end of its life. operatikg and maintance expenses for the system is average $0.5 million per year. If the citys MARR is %10 per year . what is the capitalized worth of the system? the study period is 100 years.

Principles of Accounting Volume 2
19th Edition
ISBN:9781947172609
Author:OpenStax
Publisher:OpenStax
Chapter11: Capital Budgeting Decisions
Section: Chapter Questions
Problem 3EA: If a copy center is considering the purchase of a new copy machine with an initial investment cost...
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A city is spending $20.3 million on a new sewage system. the expected life of the system is 50 years. and it will have no market value at the end of its life. operatikg and maintance expenses for the system is average $0.5 million per year. If the citys MARR is %10 per year . what is the capitalized worth of the system? the study period is 100 years.
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