Question

Quinton's refrigerator has just died. He can get a basic refrigerator or a more efficient and environmentally friendly refrigerator with an Energy Star designation. Quinton earns 4% compounded annually on

his investments, he wants to consider a 10-year planning horizon, and he will use present worth analysis to determine the best alternative. What is your recommendation? Contributed by Paul R. McCright, University of South Florida

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