Please explain thoroughly and draw the right CFD. Please provide COMPLETE and CLEAR SOLUTION.7. A company expects to retire an existing machine at the end of 2024 and will replace it with a new machinefor the same task at an estimated cost of P60.001. The old machine is expected to be sold for P5,000 whenit is replaced. To provide for the replacement, the company intends to deposit the following anmounts in anaccount earning interest at 8% compounded quarterly:P20,000 at the end of 2021P15,000 at the end of 2022P10,000 at the end of 2023What additional amount is needed at the end of 2024 to purchase the new machine? Draw the CFD.

The idea cash} flow depicts a rise or a decrease within the money quantity of an establishment,…

Answered: Please provide COMPLETE and CLEAR…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Similar questions

31. P 1,500.00 was deposited in a bank account, 20 years ago. Today it is worth P3,000.00 interest is paid semi-annually. Determine the interest rate paid on this account.
You want to invest a $(number equal to your ID number) in your saving account at the end of the first year and increase this amount by $1,200,000 for each of the next 11 years Then what should be the size of an annual uniform deposit that yields an equal balance with the above by the end of 11 years if the ?interest rate is 3% note if your ID number is 201900098 then ) the investment at the end of first year = $201900098
Kevin deposited P2,000, P2,500 and P3,000 at the end of the 2nd year, 3rd year and 4th year, respectively in a savings account which earned 0.2 per annum. Determine the future worth of the deposit?
Jack Rabbit has saved $10,000 annually for the last 35 years in an account eaming 8%. If Jack estimates that he will live for an additional 25 years, how much would he be able to start withdrawing annually for his retirement ( 8% interest)? The answer should be one of these $120,139 $177,567 $161,424 $145,282
26. On May 1, 1950, M deposited $100 in a savings account which pays 3% compounded semiannually and continued to make similar deposits every six months thereafter. After May 1, 1962, the bank paid 4% compounded semiannually. How much will be to his credit just after the deposit on November 1, 1970? Hint. 100.01s (1.02) + 100 00
Aaron invest P5,000 at the end of each year in an accountwhich given a nominal annual interest of 7.5%, compoundedcontinuously. Determine the total worth of this investment atthe end of 15 years.
A person invest P450 to be collected in 8 years. Given that the interest rate on the investment is 14.5% compounded annually, what sum will be collected 8 years from now? * P 1440 P 1330 P1550 P1660
Alex invested P25,000.00 to a business. The ROR is 3 % compounded quarterly and he expects to have it after 9 years. How much will the investment company pay Alex after 9 years?
Determine the present equivalent value of the cash-flow diagram shown below when the annual interest rate, i, varies as indicated. P=? ܂ $1,000 i₁ = 8% 1 $2,000 The present equivalent value is $ 2 = 15% 2 i3 = 12% $1,000 ig = 8% 3 Years ܗܘܢ ܗܝ (Round to the nearest cent.) 4 $2,000 15 = 8% 16 = 12% 5 Click the icon to view the interest and annuity table for discrete compounding when i = 8% per year. Click the icon to view the interest and annuity table for discrete compounding when i= 12% per year. 6
The maintenance on a machine is expected to be P155 at the end of the first year and is expected to increase P40 each year for the next 8 years. What sum of money should be set aside now to pay the maintenance. Assume 6% interest Compute the equivalent annual cost.(kindly give the given, complete and detailed solution. Thank you)
A man bought a lot worth P1,000,000 if paid in cash. On the installment basis, he paid a down payment of P200,000, P300,000 at the end of one year; P400,000 ať the end of three years and a final payment at the and of five years, What was the final payment if interest was 20%? P 1M 1 2 3 4 5
A social worker deposits a uniform amount of P12,000 at the end of each year in order to get alump sum of money by the time she will retire at the end of 20 years. If the compound amountfactor for this annuity is equal to 36.78559.1. Compute the nominal interest rate.2. Determine how much will she receive at the end of 20 years.3. Determine the worth of the sinking fund factor in this fund invested.

SEE MORE QUESTIONS

Recommended textbooks for you

ENGR.ECONOMIC ANALYSIS

Economics

ISBN:

9780190931919

Author:

NEWNAN

Publisher:

Oxford University Press

Principles of Economics (12th Edition)

Economics

ISBN:

9780134078779

Author:

Karl E. Case, Ray C. Fair, Sharon E. Oster

Publisher:

PEARSON

Engineering Economy (17th Edition)

Economics

ISBN:

9780134870069

Author:

William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

Publisher:

PEARSON

ENGR.ECONOMIC ANALYSIS

Economics

ISBN:

9780190931919

Author:

NEWNAN

Publisher:

Oxford University Press

Principles of Economics (12th Edition)

Economics

ISBN:

9780134078779

Author:

Karl E. Case, Ray C. Fair, Sharon E. Oster

Publisher:

PEARSON

Engineering Economy (17th Edition)

Economics

ISBN:

9780134870069

Author:

William G. Sullivan, Elin M. Wicks, C. Patrick Koelling

Publisher:

PEARSON

Principles of Economics (MindTap Course List)

Economics

ISBN:

9781305585126

Author:

N. Gregory Mankiw

Publisher:

Cengage Learning

Managerial Economics: A Problem Solving Approach

Economics

ISBN:

9781337106665

Author:

Luke M. Froeb, Brian T. McCann, Michael R. Ward, Mike Shor

Publisher:

Cengage Learning

Managerial Economics & Business Strategy (Mcgraw-…

Economics

ISBN:

9781259290619

Author:

Michael Baye, Jeff Prince

Publisher:

McGraw-Hill Education

SEE MORE TEXTBOOKS