Based on the following cash flows (t=0 to t=4), calculate the Precise (exact) ERR. Assume the MARR is at 10%. t=0, receipts of 10,000. t=1, disbursement of 7,500. t=2, disbursement of 7,500. t=3, no cash flow t=4, receipt of 3,850. O 1.3606% O 5.4794% O 14.8930% O 2.0341% 02 7032%
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- Incorrect Question 8 When calculating the Break Even Analysis, one needs to subtract the FW of the cash inflows from the PW of the cash outflows. True FalseThe equivalent value in year 10 equals to : $600 i=5% 2 3 4 5 6 7 $300 $400 Select one: о a. =600(F/P,5%,10) + 300 (F/P,5%,7) + 400 (F/P,5%,4) b. =600(P/F,5%,10) + 300(P/F,5%,8) + 400 (F/P,5%,5) c. =500(F/P,5%,9) + 300 (F/A,5%,8) + 400 (F/P,5%,5) d. =600(F/P,5%,10) + 300 (F/P,5%,8) + 400 (F/P,5%,5) F = ? +∞ 8. 9 10It is likely that your college tuition will increase an average of 8% per year for the next 4 years. The annual cost of tuition at the beginning of your freshman year in college will be $12,000 (A1). How much money will you and your parents have to deposit in a mutual fund account one year prior to your freshman year to pay for your tuition for the 4 years you will spend earning your degree in engineering? The mutual fund will earn an average of 5% annual interest.
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