An investment proposal calls for $321,164.4 payment now and a second $298,165.23 7 years from now. The investment is for a project with a perpetual life. The annual interest rate is 6%. What is the approximate equivalent uniform annual cost?
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- How much should be put in an investment with a 4% effective annualrate today to have $20,000 in five years?Suppose that annual income from a rental property is expected to start at $1,350 per year and decrease at a uniform amount of $35 each year after the first year for the 15-year expected life of the property. The investment cost is $7,500, and i is 10% per year. Is this a good investment? Assume that the investment occurs at time zero (now) and that the annual income is first received at EOY one. Click the icon to view the interest and annuity table for discrete compounding when i = 10% per year. The present equivalent of the rental income equals $ Is this a good investment? Choose the correct answer below. (Round to the nearest dollar.) O Yes O NoSuppose that annual income from a rental property is expected to start at $1,270 per year and decrease at a uniform amount of $45 each year after the first year for the 16-year expected life of the property. The investment cost is $7,700, and i is 7% per year. Is this a good investment? Assume that the investment occurs at time zero (now) and that the annual income is first received at EOY one. Click the icon to view the interest and annuity table for discrete compounding when i= 7% per year. The present equivalent of the rental income equals $ (Round to the nearest dollar.)
- Suppose that annual income from a rental property is expected to start at $1,330 per year and decrease at a uniform amount of $40 each year after the first year for the 15-year expected life of the property. The investment cost is $7,000, and i is 7% per year. Is this a good investment? Assume that the investment occurs at time zero (now) and that the annual income is first received at EOY one. Click the icon to view the interest and annuity table for discrete compounding when i = 7% per year. The present equivalent of the rental income equals $. (Round to the nearest dollar.) Is this a good investment? Choose the correct answer below. Yes NoSuppose that annual income from a rental property is expected to start at $1,300 per year and decrease at a uniform amount of $60 each year after the first year for the 12-year expected life of the property. The investment cost is $8,600, and iis 8% per year. Is this a good investment? Assume that the investment occurs at time zero (now) and that the annual income is first received at EOY one. Click the icon to view the interest and annuity table for discrete compounding when i = 8% per year. The present equivalent of the rental income equals $ (Round to the nearest dollar.)8 1 01:59:49 ! Required information You just deposited $9,500 in an investment account and will deposit $5000 more four years from now. Use tabulated factor values to determine how much will be in the account 14 years from now if the rate of return is 10% per year? 14 years from now, the account will have $
- A financing company charges 1.5% every three months on a loan. Find the equivalent effective rate of interest.Group of answer choices 8.14% 7.14% 9.14% 6.14%You have received the proposal to invest $1,000,000 in exchange for receiving income of $75,000 at the end of the first month that would decrease 0.3% each month starting from the 2nd month. Expenses are estimated at $25,000 at each end of the month, starting from the 1st month. Assume that the proposal will last 5 years and that the minimum acceptable rate of return (m) is 1.5% per month. What does the Present Value criterion recommend? Show your work. If flow patterns are found (uniform, arithmetic, exponential), use factors.When you purchased your car, you took out a five-year annual-payment loan with an interest rate of 6.2% per year. The annual payment on the car is $4,500. You have just made a payment and have now decided to pay off the loan by repaying the outstanding balance. What is the payoff amount for the following scenarios? a. You have owned the car for one year (so there are four years left on the loan)? b. You have owned the car for four years (so there is one year left on the loan)? a. You have owned the car for one year (so there are four years left on the loan)? The payoff if you have owned the car for one year (so there are four years left on the loan) is S (Round to the nearest cent) b. You have owned the car for four years (so there is one year left on the loan)? (Round to the nearest The payoff if you have owned the car for four years (so there is one year left on the loan) is S cent)
- An industrial firefighting truck costs $100,000. Savings in insurance premiums and uninsured losses from the acquisition and operation of this equipment is estimated at $60,000/yr. Salvage value of the apparatus after 5 yrs. is expected to be $20,000. A full-time driver during operating hours will accrue an added cost of $10,000/yr. What would the rate of return be on this investment? @ 40% present worth @ 50% present worthSuppose that annual income from a rental property is expected to start at$1,100 per year and decrease at a uniform amount of $50 each year after the first year for the 14-year expected life of the property. The investment cost is$8,600,and i is 7% per year. Is this a good investment? Assume that the investment occurs at time zero (now) and that the annual income is first received at EOY one. The present equivalent of the rental income equals $ . (Round to the nearest dollarThe required investment cost of a new, large shopping center is $51 million. The salvage value of the project is estimated to be $18 million (the value of the land). The project's life is 12 years and the annual operating expenses are estimated to be $16 million. The MARR for such projects is 15% per year. What must the minimum annual revenue be to make the shopping center a worthwhile venture? Click the icon to view the interest and annuity table for discrete compounding when the MARR is 15% per year. To make the shopping center a worthwhile venture, the minimum annual revenue must be $ million per year. (Round to three decimal places.) Reference Discrete Compounding; i=15% Single Payment Uniform Series Compound Amount Compound Sinking Fund Capital Recovery Factor Present Amount Present Factor Worth Factor Factor Worth Factor Factor To Find F To Find P To Find F To Find P To Find A To Find A Given P Given F Given A Given A Given F Given P N FIP PIF FA PIA AIF AIP 1.1500 0.8696 1.0000…