Question 3For the following cash flows, calculate the annual worth using 10% per yearYear1234Cash Flow, S- 605100175250325O A.S 17.23O B.$ 7.12OC.S 12.73O D.S 21.73O E.S -12.44A Moving to the next question prevents changes to this answer

First, we compute PW as follows. PW = - 605 + 100 x P/F(10%, 1) + 175 x P/F(10%, 2) + 250 x P/F(10%,…

Answered: For the following cash flows, calculate…

For the following cash flows, calculate the annual worth using 10% per year Year 1 3 4 Cash Flow, $ - 605 100 175 250 325 O A.S 17.23 O B.$ 7.12 OC.S 12.73 O D.S 21.73 O E.S -12.44

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

See similar textbooks

Related questions

Q: interest rate

A: The Interest rate is the proportion of a mortgage charged as interest to the borrower, normally…

Q: What is the present worth of a $1.000 annuity over a 15 year period, the ntereates 10 Oa PW-$2.000…

A: Formula Used:

Q: 13. A sum of Php1000 is invested now and left for eight years, at which time the principal is…

A: We are going to find the answer using compounding interest technique.

Q: Calculate the present worth of given cash flow, ati= 9% Year 100 120 120 120 200 160 200 240 300 280…

Q: Question 1 You have decided to invest $7.000 in a fund that pays 13% per year oompound interest…

A: Given: The invested principal amount is = $7,000 The interest rate is = 13% compounded per year The…

Q: k. A man inherited a regular endowment of Php 100,000 every end of 3 months for x years. However, he…

A: P=Ai[(1+i)x-1]+Ai[1-(1+i)-x]3,702,939.8=100,0000.035[(1+0.035)x-1]+100,0000.035[1-(1+0.035)-x]3,702,…

Q: A man wants to help provide a college education for his young daughter. He can afford to invest…

A: The annual investment is the amount to be paid at the end of the period. It is paid on an annual…

Q: Find the value of X for the following cash flow in the way that the total The present value is equal…

A: Required equation is: PW = [4,000 x P/A(15%, 5) x P/F(15%, 2)] + [X x P/F(15%, 11)]

Q: You currently have $250,000 in your retirement account. What equal ann each year for the next 13…

A: Given the present value = $250000 Time, n = 13 years Interest rate, r = 8% Future value = $37000

Q: How much money shoid be deposited annualy in a bank account for five years you wish to witdrew…

A: Answer;

Q: Given a series of cash flows in the table below, determine the value of "y". i=6% Year 5 10 20 Cash…

A: Given: i=6% To find: Value of Y

Q: It is desired to accumulate $50,000 at the end of a 10-year period. What amount needs to be invested…

A: Compounding refers to a process in which interest is earned over interest. It is used to increase…

Q: For the following cash flows, calculate the annual worth using 10% per year Year 1 3 4 Cash Flow, $…

A: Cash flow: It is the total amount of money that is transferred into and out of a business, affecting…

Q: How much money will be accumulated in 5 years from a deposit of $8000 every 6 months if the interest…

A: i(effective)=(1+i)^m-1 where i is the rate per compounding period and m is the number of…

Q: 2. For the cash flows shown below, determine the present worth at an interest rate of 12% per year.…

A: here we draw the cashflow and calculate the present worth as follow-

Q: A company is considering two machines. Machine X has a first cost of $30,000, AOC of $18.000, and 5…

A: Straight line devaluation is the most regularly utilized and direct deterioration strategy for…

Q: An oil refinery finds that it is necessary to treat the waste liquids from a new process before…

A: Given, There are two option for the treatment of waste liquids Treatment cost= $20,000 in the first…

Q: If THV Plastics purchases a new building now for Php 1.3 million for its warehouse, what must the…

Q: 3) Consider the given cash flow diagram. Determine the annual worth equivalence (years 1 through 5).…

A: The annual worth is the net of all the profits and expenses incurred over one year. Thus, we present…

Q: . For the cash flow shown below, calculate the future worth at the end of year 8 at i-10% per yea 0…

A: Future value or future worth is the utility of cash or an asset at a specific date in the future. It…

Q: On their saving accounts, Al- Rajhi Bank offers an annual interest rate of 16% nominal, Compounded…

A: Given information, Present value (p)= $22,000 Interest rate (r)= 16% Compounded period (m)= 4…

Q: Determine the present equivalent value (PW) of the following cash flow when the annual interest rate…

A: We have We have to find a present worth PW

Q: An engineer will deposit 15% of her salary each year into a retirement fund. If her current annual…

A: Disclaimer :- As you posted multiple questions we are supposed to solve only the first one. If…

Q: What is the IRR in the following cash flow? Year End 3 4 Cash Flow 1,800 -6,000 1,800 1,800 1,800…

A: Here we calculate the value of IRR of the given cash flow by using the given information and choose…

Q: A father wants to set aside money for his 5-year-old son's future college education. Money can be…

A: A demand deposit account (DDA) is a bank account in which funds can be withdrawn at any time and…

Q: Sheridan Service has a line of credit loan with the bank. The initial loan balance was $6000.00…

A: We have, Initial Loan Balance = $6,000 Payment made after 3 months = $2,000 Payment made after 8…

Q: If a city's current population is 65.000 and compounding at the rate of 5 percent per year, (a) what…

A: Here we calculate the following terms by using the given information and conclude the solution , so…

Q: Department ABC expects the cost of maintenance for a particular piece of heavy equipment to be $5000…

A: The equivalent present worth is the present value of a future stream of cash flow. The present value…

Q: Yéar -$5,000 -$5,000 1 -$3,000 +$2,000 +$4,000 +$2,000 3 +$4,000 +$2,000 4 +$4,000 +$2,000

A: here we calculate the incremental in cashflow and choose the correct option by using the values of…

Q: Problem: What value of T makes these two cash flow diagrams (see figure) economically equivalent at…

A: By equating the P equivalents of the cash-flow charts, we can solve for T. 1000 + 500(NPV at 15% in…

Q: For the cash flows shown in the table, determine the future worth in year 8 at an interest rate of…

A: FV = PV(1+r)n FV = Future Value PV = Present Value r = annual interest rate n = number of periods

Q: For the given cash flow of geometric gradient, if A= $2,000 , the present value, P is closest to:

A: P = A[1-(1+g)n(1+i)-ni-g]where g = 15%i = 12%

Q: Q5. rate compounued monthly for their new-born daughter Henrietta. Mr. and Mrs Lacks transfer 7% and…

A: We will use the Present Worth and Future Worth concepts to answer this question. To solve the…

Q: Question 2 Income from recycling the paper and cardboard generated in an office building has…

A: Future value is the value of income at the end of planning horizon. Present value is the value of…

Q: SAA Committee has implemented a program to recycle all plastic drink cups usedduring the Annual UCSI…

A: Equivalent annul value (AV) can be calculated as follows. Annual value is $7,415.78.

Q: Consider the following two mutually exclusi Net Cash Flow End of year Project A Project B - $1,400…

Q: Determine the rate of return (ROR) for the following investments. a) Solve using iteration and the…

A: The internal rate of return is the rate at which the PW, AW, and FW become zero. In part a) there is…

Q: Please determine the equal cash flow A (from 1 to 5) for the cash flows provided below when…

A: The equivalent annual cash flow can be calculated as annuity payments. Annuities are payments made…

Q: Solve the following problems: 1. The offshore design group at Bechtel just purchased upgraded CAD…

A: Economics is a social science that studies how individuals, businesses, governments, and societies…

Q: An engineer on the is planning to retire in 10 years. She has accumulated savings of $450,000 that…

A: here we calculate how much would her retirement savings be when she retires by following method…

Q: 3-17 You are planning to withdraw $100 in Year 1, $150 in Year 3, and $200 in Year 5. At a 5%…

A: Present value (PV) is the ongoing value of a flood of cash flows. PV examination is utilized to…

Q: A small gold mine yielded an equipment of Php. 500,00.00 during its first year of operation. Php…

A: Hey champ, Welcome to this platform. Here you will get the answer with better quality in minimum…

Q: Mrs. Jones plans to save $750 a month for the next 10 years, at 10% per year, compounded monthly.…

A: We are given, Interest rate = 10% = 0.1 Monthly payment = $750 Interest rate per month would be…

Question

Expert Solution

This question has been solved!

Explore an expertly crafted, step-by-step solution for a thorough understanding of key concepts.

SEE SOLUTION Check out a sample Q&A here

Step 1.

VIEW

Step 2.

VIEW

Step 3.

VIEW

Step by step

Solved in 3 steps

SEE SOLUTION Check out a sample Q&A here

Knowledge Booster

Learn more about

Need a deep-dive on the concept behind this application? Look no further. Learn more about this topic, economics and related others by exploring similar questions and additional content below.

Similar questions

In the accompanying diagram, what is the value of K on the left-hand cash-flow diagram that is equivalent to the right-hand cash-flow diagram? Let i = 12% per year pls show manual solution and pls write legibly thank you
provide cash flow diagram. From the Question, what is the equivalent uniform annual cost over the entire-50 year period?
help
Please no written by hand solution
Given the cash flows in table below. Determine the value of P. i= 6% per year Year 0 1 2 3 4 5 Cash Flow -P 400 800 1200 1600 1800 Group of answer choices $4709.14 $6125.15 $5125.63 $4978.23
If the effective annual interest rate is 10.51% and the nominal annual rate is 10.25%, compounding is: Select one: Oa. Semi-annual O b. Monthly O c. Bi-monthly O d. Continuous O e. Quarterly
For the following cash flows, using Excel, compute: a) the present worth. b) the equivalent uniform annual worth c) draw a cash flow diagram (chart) of the annuities. 200 220 i 15% 242 266.20
10
Show solution Use the given formula in solving the equation In the diagram, what is the value of K on the left-hand cash-flow diagram that is equivalent to the right-hand cash-flow diagram? Let i = 12.12% per year.
2
Given the cash flows in table below. Determine the value of P. i= 6% per year