Business, 07.03.2020 04:18, trevorhenyan51

Now let's assume that the pressure washer cost $400 had to be replaced every 10 years. So your decision is to rent each year at $80, or spend $400 now, which would save you $80 per year for 10 years ($800 gross dollars). Assume the appropriate discount rate (interest rate or i) is 8%. Calculate the PV of the savings (Begin mode) and compare to the cost of buying,

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Now let's assume that the pressure washer cost $400 had to be replaced every 10 years. So your decis...