An asset has an initial cost of $10 000. Its maintenance costs are $300 in the first year, and go up by 20% per year thereafter. Its salvage value declines by straight-line depreciation over ten years. If your MARR is 10%, what is its economic life?
A)2 years
B)3 years
C)4 years
D)5 years
E)6 years

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The Answer of An asset has an initial cost of $10 000. Its maintenance costs are $300 in the first year, and go up by 20% per year thereafter. Its salvage value declines by straight-line depreciation over ten years. If your MARR is 10%, what is its economic life?
A)2 years
B)3 years
C)4 years
D)5 years
E)6 years

An Asset Has an Initial Cost of $10 000