A geometric gradient has a positive cash flow of $1,000 at EOY zero (now), and it increases

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A geometric gradient has a positive cash flow of $1,000 at EOY zero (now), and it increases 5% per year for the following five years. Another geometric gradient has a positive value of $2,000 at EOY one and it decreases 6% per year for years two through five. If the annual interest rate is 10%, which geometric gradient would you prefer?
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Engineering Economy

ISBN: 978-0132554909

15th edition

Authors: William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

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