Order the answer to: Acme Landfill Company is considering the purchase of 10 better

Academic Writing business-economics Order the answer to: Acme Landfill Company is considering the purchase of 10 better

business-economics

Order the answer to: Acme Landfill Company is considering the purchase of 10 better

Question Acme Landfill Company is considering the purchase of 10 better trash collection trucks. Each truck costs $50,000 and will last 7 years. The firm estimates that the purchase will increase its annual revenues by $100,000 per year for as long as the trucks last. If the real interest rate is 10 percent, should the firm buy the 10 trucks? Would your answer change if the real interest rate fell to 8 percent?
Subject business-economics
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