Equivalent Annual Cost Paper Before Starting please let me know what you going to write about? Select an item that you or the company your work for is considering buying or will need to buy in the near future. This good or service should have a life of at least two years to make comparisons. Examples include a car, house, lawn treatments, a new type of hot water heater, computers, or a food service contract. Select two goods or services to compare and use the theory of Equivalent Annual Cost to mathematically evaluate your decision to purchase a particular product or service in a 4-6 page paper. For example, should I buy a new traditional hot water heater or should I buy the instant electric water heater. I want you to research the quality of the product or service and the cost of the good or service. What support is provided once you purchase the good or service? What additional costs may occur? How long does the product or service last? What were the explicit equivalent annual costs between your two choices? What are the implicit costs or implicit benefits that influenced your decision? Students should plan on spending approximately eight hours to complete this paper.
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