You are in the market for a new refrigerator for your company?s lounge, and;you have narrowed the search down to two models. The energy efficient model sells for $500 and will save you $25 at the end of each of the next five;years in electricity costs. The standard model has features similar to the;energy efficient model but provides no future saving in electricity costs. It is;priced at only $400. Assuming your opportunity cost of funds is 5 percent;which refrigerator should you purchase?
Paper#30606 | Written in 18-Jul-2015Price : $22