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Math Help - Capitical recovery problem

  1. #1
    Junior Member
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    Feb 2011
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    Capitical recovery problem

    Hello everyone.
    Can you please confirm if part a is correct and help with the part b, im not sure how i would determine what the losses were, i do know that the company makes approx 78 k for 4 years after the software purchase is the correct answer simply 10% of the earnings?

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  2. #2
    MHF Contributor
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    May 2010
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    i agree with your answer for (a).

    (b)
    the saving is 10% of the original cost
    the saving is 78809 per year

    What was the original cost?

    Spoiler:

    0.1x = 78809
    x = 788809
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  3. #3
    Junior Member
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    Thank you sir!
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