Answered: COY NCF ($) -1,000 1 500 2 600 3 700 4…

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Economics

COY NCF ($) -1,000 1 500 2 600 3 700 4 800

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

Using an interest table gradient series factor, write an equation to find the Present Worth (at EOY 0) of the following series of
payments. Interest is 5%.
ΕΟΥ
NCF ($)
-1,000
1
500
600
3
700
4
800
900

Using an interest table gradient series factor, write an equation to find the Present Worth (at EOY 0) of the following series o
payments. Interest is 7%.
EOY
NCF ($)
-1,000
1
2
3
400
4
800
1200
Select the correct response:
P=- 1,000 + 400 (P/G,7%,3) (P/F,7%,2)
P=- 1,000 + 400 (P/A,7%,3) + 400 (P/G,7%,3)
- 1,000 + 400 (P/G,7%,4) (P/F,7%,1)
P=- 1,000 + 400 (P/G,7%,4)

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