The Stark County executives are considering the purchase of new 130 hp bulldozer and are comparing two models: the BEHEMOTH and the GOLIATH. The BEHEMOTH bulldozer costs $130,000, with a projected annual operating and maintenance cost of $31,000 and a salvage value $15,000 after 7 years. The GOLIATH model costs $175,000, with a projected annual operating and maintenance cost of $22,000 and a salvage value of $21,000 after 7 years.
-Find the net present value of the GOLIATH compressor if the cash flows are discounted annually at 7%.
A)-$265,903
B)-$273,224
C)-$287,727
D)-$264,691
E)-$280,487

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The Answer of The Stark County executives are considering the purchase of new 130 hp bulldozer and are comparing two models: the BEHEMOTH and the GOLIATH. The BEHEMOTH bulldozer costs $130,000, with a projected annual operating and maintenance cost of $31,000 and a salvage value $15,000 after 7 years. The GOLIATH model costs $175,000, with a projected annual operating and maintenance cost of $22,000 and a salvage value of $21,000 after 7 years.
-Find the net present value of the GOLIATH compressor if the cash flows are discounted annually at 7%.
A)-$265,903
B)-$273,224
C)-$287,727
D)-$264,691
E)-$280,487

The Stark County Executives Are Considering the Purchase of New