Question: A cash flow sequence is described by 1000 in year 1 increasing by 100 per year. The sequence extends through year 11. The interest rate
A cash flow sequence is described by 1000 in year 1 increasing by 100 per year. The sequence extends through year 11. The interest rate in 8% pet year 6) The value of G is 50 100 1000 1050 The cash flow in year 4 is 250 1200 1250 1300 The present worth of the cash flow is nearest to 1513 8344 10165 10500 By doing annual updating of a certain production line a company can avoid spending $100,000 for a new system 5 years from now. At an interest rate of 10% per year the annual amount the company can afford to spend beginning one year from now is nearest to 6270 16380 24190 38550 If a company invests $25,000 in new packaging equipment, by how much must it reduce its annual costs to expect to recover the investment in five years at an interest rate of 10 % per year. 2635 5135 6595 48718
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