FINANCIAL ACCOUNTING
10th Edition
ISBN: 9781259964947
Author: Libby
Publisher: MCG
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Question
- Henry Mueller Supply Co. sells tamperproof, normally open thermostats (i.e., thermostat closes as temperature rises). Annual
cash flows are shown in the table below. Determine the future worth of the net cash flows at an interest rate of 10% per year.
Year |
1 |
2 |
3 |
4 |
5 |
6 |
7 |
8 |
Income, $1000 |
200 |
200 |
200 |
200 |
200 |
200 |
200 |
200 |
Cost, $1000 |
90 |
90 |
90 |
90 |
90 |
90 |
90 |
90 |
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