Please fast The Pedernales Electric Cooperative estimates that the present worth now of income from aninvestment in renewable energy sources is $12,475,000. There will be no incoma in years 1 and2, but in year 3 income will be $250,000, and thereafter it will increase according to an arithmeticgradient through year 15. What is the required gradient, if the interest rate is 15% per year?

Here we calculate the gradient by using the given data , so the calculation of the following by…

The Pedernales Electric Cooperative estimates that the present worth now of income from an investment in renewable energy sources is $12,475,000. There will be no income in years 1 and 2, but in year 3 income will be $250,000, and thereafter it will increase according to an arithmetic gradient through year 15. What is the required gradient, if the interest rate is 15% per year?

The Pedernales Electric Cooperative estimates that the present worth now of income from an investment in renewable energy sources is $12,475,000. There will be no income in years 1 and 2, but in year 3 income will be $250,000, and thereafter it will increase according to an arithmetic gradient through year 15. What is the required gradient, if the interest rate is 15% per year?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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