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You have purchased a machine costing $25000. The machine will be used for two years, and at the end of this time, its salvage value is expected to be $18000. The machine will be used 6000 hours during the first year and 8000 hours during the second year. The expected annual net savings will be $35000 during the first year and $38000 during the second year. If your interest rate is 8%, what would be the equivalent net savings per machine hour?

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