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A Company Wants to Determine the Optimal Replacement Policy for Its

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A company wants to determine the optimal replacement policy for its delivery truck. New trucks cost $30,000. The company does not keep trucks longer than 2 years and has estimated the annual operating costs and trade-in values for trucks during each of the 2 years as:
\quad \quad \quad \quad \quad \quad \quad \quad \quad \quad  Age in years \text { Age in years }
0112 Operating Cost $15,000$16,500 Trade-in Value $20,000$16,000\begin{array}{l}\begin{array} { l c c } & 0 - 1 & 1 - 2 \\\hline \text { Operating Cost } & \$ 15,000 & \$ 16,500 \\\text { Trade-in Value } & \$ 20,000 & \$ 16,000\end{array}\end{array} Draw the network representation of this problem.

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