Warren Tea needs new tire

Warren Tea needs new tire

Warren Tea needs new tires for his Escalade. He researches the Internet and finds the following alternatives:Warranty (mos)     CostTireA                    12               39.95TireB                    24               59.95TireC                   36               69.95TireD                    48               90.00Automotive engineer Warren figures that the warranty period is a good estimate of the life of the tire. Using a MARR of 10% and annual cash flow, what is the AC of the cheapest option, to the nearest cent?

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