Reference no: EM13740183
Q1: How much money will be in a savings account at the end of 10years from deposits of 1000$ per month, if the account earns interest at a rate of 10% per year compounded semiannually?
Q2: A present sum of 50000$ at an interest rate of 12 % per year compounded quarterly is equivalent to how much money 8 years ago?
Q3: if a project cost per machine is 22,000$ per year for years 1 and 2 and then it increases by 8% per year through year 10 , at an interest rate of 10% per year
a) total present worth at year 0 .
b) total future worth at year 10.
Q4: Use the table below and the present worth method to select the best alternative at 12% per year,
A B C
First cost ,$millions -200 -350 -475
Annual cost,$millions -450 -275 -400
Salvage value,$millions 75 50 90
Estimated life,years 20 20 20
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