3. An engineer deposits $8000 in year 1, $8500 in year 2, and amounts increasing by $500 per year through year 10. At an interest rate of 10% per year, the present worth in year 0 is closest to (a) $60.600 (b) $98.300 (c) $157,200 (d) $173,400
3. An engineer deposits $8000 in year 1, $8500 in year 2, and amounts increasing by $500 per year through year 10. At an interest rate of 10% per year, the present worth in year 0 is closest to (a) $60.600 (b) $98.300 (c) $157,200 (d) $173,400
Managerial Economics: Applications, Strategies and Tactics (MindTap Course List)
14th Edition
ISBN:9781305506381
Author:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Publisher:James R. McGuigan, R. Charles Moyer, Frederick H.deB. Harris
Chapter17: Long-term Investment Analysis
Section: Chapter Questions
Problem 10E
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
Transcribed Image Text:3. An engineer deposits $8000 in year 1, $8500 in year 2, and amounts increasing by $500 per
year through year 10. At an interest rate of 10% per year, the present worth in year 0 is closest to
(a) $60,600
(b) $98,300
(c) $157,200
(d) $173,400
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