... year)»t = total number of periods13-15Importance of TCO in Supply Management •Service Providers•Retail •Manufacturing• Supply Chains /Supply Networks13-16Service and Retail Providers•Understanding ... streams equals net present value of potential investment (120 ,000) 27,500 22,917 13,889 15,914 13,262 13,563 (12, 955)Internal rate of return (120 ,000) 33,000 33,000 24,000 33,000 33,000 40,500 15.66%(Alternative ... (7,000) (23,279)Salvage value (estimated) 7,500 2, 512 Net present value of potential investment (12, 955)Total of annual streams (from above) (120 ,000) 33,000 33,000 24,000 33,000 33,000 40,500Required...