Basics Of Engineering Economy
Basics Of Engineering Economy
2nd Edition
ISBN: 9780073376356
Author: Leland Blank, Anthony Tarquin
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Chapter 3, Problem 74APQ
To determine

Calculate the annual worth.

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Compute the present worth (P) for the cash flows with the different periodicinterest rates specified. The cash flows occur at the end of each year over sixyears.(a) P = $2,140(b) p = $2,154(c) P = $2,234( d) p = $2,249
Mr. Juan dela Cruz borrowed P 1,000 and was able to sign a promissory note that he would pay P 2,032.79 after 4 years.  What is the value of the present worth factor?
A streaming service charges one fee ($500) for a 2-year subscription. If a 12% nominal annual interest rate with compounding every month is used. a. What is the effective annual interest rate? b. What is the cost per year of the streaming service?

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