Question: please solve quickly 1. (10 points) An independently owned moving company wants to have enough money to purchase a new tractor-trailer in four years. If
please solve quickly 
1. (10 points) An independently owned moving company wants to have enough money to purchase a new tractor-trailer in four years. If the unit will cost $250,000, how much should the company set aside now if the account earns a. 10% simple interest? b. 10% compounded semi-annually? 4. (15 pts.) An environmental soil cleaning company deposits $2,000 quarterly in a fund that earns 8% compounded quarterly over a five-year clean-up period. How much money is in the fund a. at the end of five years? b. at the end of 10 years? 2. (10 points) What is the effective interest rate for a. 15% compounded quarterly? b.18% compounded semi-annually? 5. (15 pts). A cash-flow sequence starts in year 1 at $3000 and increases by $1000 each year through year 10, i = 10%. a. Determine the total present worth of the given cash flow. b. Determine the amount of cash flow in year 10. 3. (10 points) How much money could a maker of super- conducting magnetic energy storage systems afford to spend now on new equipment that has an initial cost of $50,000, and operation costs of $1000 per year beginning 5 years from now if the company's rate of return is 12% per year
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
