1. **State the problem:** Calculate the life cycle costs for a new stamping machine using the given cost data.
2. **Formula:** Life cycle cost = Purchase Price + Repair Costs + Post Purchase Costs + Start Up Costs + Maintenance Costs + Energy Costs
3. **Substitute the values:**
$$\text{Life cycle cost} = 230000 + 107000 + 870000 + 125000 + 420000 + 325000$$
4. **Calculate the sum:**
$$230000 + 107000 = 337000$$
$$337000 + 870000 = 1207000$$
$$1207000 + 125000 = 1332000$$
$$1332000 + 420000 = 1752000$$
$$1752000 + 325000 = 2077000$$
5. **Final answer:**
The life cycle cost is **2,077,000**.
Therefore, the correct choice is **B. 2,077,000**.
Life Cycle Costs E52916
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