A rotary engine is the essence of a vertical takeoff and landing (VTOL) personal aircraft known as the Moller Skycar M400. It is a flying car known as a personal air vehicle (PAV) and it is expected to make its first untethered flight in 2020. The PAV has been under development for 30 years at a total cost of $100 million. Assuming the $100 million was spent in an equal amount each year, determine the future worth at the end of the 30-year period at an interest rate of 10% per year.
A rotary engine is the essence of a vertical takeoff and landing (VTOL) personal aircraft known as the Moller Skycar M400. It is a flying car known as a personal air vehicle (PAV) and it is expected to make its first untethered flight in 2020. The PAV has been under development for 30 years at a total cost of $100 million. Assuming the $100 million was spent in an equal amount each year, determine the future worth at the end of the 30-year period at an interest rate of 10% per year.
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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A rotary engine is the essence of a vertical takeoff
and landing (VTOL) personal aircraft known as
the Moller Skycar M400. It is a flying car known
as a personal air vehicle (PAV) and it is expected to
make its first untethered flight in 2020. The PAV
has been under development for 30 years at a total
cost of $100 million. Assuming the $100 million
was spent in an equal amount each year, determine
the future worth at the end of the 30-year period at
an interest rate of 10% per year.
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