Q1.The device was purchased 3 years ago for $ 13,000. Its current value is $ 6500 and its annual operating cost It is $ 1250 and from now on it will increase by 10% every year. A second-hand device...

Extracted text: Q1.The device was purchased 3 years ago for $ 13,000. Its current value is $ 6500 and its annual operating cost It is $ 1250 and from now on it will increase by 10% every year. A second-hand device priced at $ 2800 is available, But the cost of operation is $ 2400 per year. The usefullife of both devices is expected to be another6 years And the scrapvalue of the current machine will be $ 1600 and the second hand machine will be zero. A) Use the "ExternalView" list of receipts and payments for the next 6 years if the device Use the previous one for the rest of its life, as well as if you buy a second-handdevice. B) If the interest rate is 12%, find the best option.