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Business, 21.05.2021 17:10 Milanchik28

A land development company is considering the purchase of earth-moving equipment. This equipment will have an estimated first cost of $199,000, a salvage value of $65,000, a life of 10 years, a maintenance cost of $32,000 per year, and an operating cost of $220 per day. Alternatively, the company can rent the necessary equipment for $1130 per day and hire a driver at $180 per day. If the company's MARR is 10% per year, how many days per year must the company need the equipment in order to justify its purchase?

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