Levi Strauss has some of its jeans stone-washed under a contract with independent U.S. Garment Corp. Their operating cost per machine is $22,000 for year 1 and it increases by $1000 per year through year 5. The equivalent uniform annual cost per machine (years 1-5) at an interest rate of 8% per year is?© BrainMass Inc. brainmass.com December 20, 2018, 5:51 am ad1c9bdddf
See the attached excel file.
Year Cost Discounting Factor at 8% Discounted ...
The equivalent uniform annual cost per machine is assessed.