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Technology Stocks : Dell Technologies Inc.

DELL 133.20

+5.7%

Nov 26 3:59 PM EST

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To: Chuzzlewit who wrote (44433)	5/22/1998 2:59:00 PM
From: Jim Patterson	Read Replies (2) of 176387

Meathead had a great post. Without taking into account Cost of capital, and assumint the second $1500 machine lasts 3 years like the first, X out anual support costs and the savings is: $287 per year per machine. one is 6 years and one is 5 years. Now throw in the posibility that the $1,500 machine might last more than the 3 years it will be depreciated over, and you have some incentive to take a chance on this idea. If the it manager can stretch the $1500 to 4 years each, you get an upgrade faster than in the first model, and you actualy save $5.50 on a permachine per year basis over 8 years vs the 5 year model. Jim

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