Solved

A Company Buys a Color Printer That Will Cost $16,000

Question 95

Multiple Choice

A company buys a color printer that will cost $16,000 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 8%?


A) -$3155
B) -$3606
C) -$4057
D) -$4507

Correct Answer:

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