5. Valtro Electronic Systems, Inc. set aside a lump sum of money 4 years ago in order to finance a plan expansion now. If the money was invested in a 10% per year simple interest certificate of deposit, how much did the company set aside if the certificate is now worth $850,000?

5. Valtro Electronic Systems, Inc. set aside a lump sum of money 4 years ago in order to finance a plan expansion now. If the money was invested in a 10% per year simple interest certificate of deposit, how much did the company set aside if the certificate is now worth $850,000?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

5. Valtro Electronic Systems, Inc. set aside a lump sum of money 4 years ago in
order to finance a plan expansion now. If the money was invested in a 10% per
year simple interest certificate of deposit, how much did the company set aside if
the certificate is now worth $850,000?
6. Two years ago, ASARCO, Inc. invested $580,000 in a certificate of deposit that
paid simple interest of 9% per year. Now the company plans to invest the total

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