8. If the interest rate is 24% per year compounded monthly, compare the alter. shown below on the basis of a present worth analysis Alternative 1 Alternative 2 $33000 $5600 First cost Annual operating cost Annual income Salvage value Life, years ST8000 $4600 $20000 $27000 $3000 $4200 4

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A: given, P= R 20,000 A = R45200 r=12%

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A: year=logfuture valuepresent valuelog 1+rate

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A: In this question we need to compute the amount that should be set aside today i.e. present value.

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A:

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A: Hi There, Thanks for posting the questions. As per our Q&A guidelines, must be answered only one…

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A: Introduction Present Value: Present value is referred to as identifying the value of cash flows or…

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A: in this you have to calculate total present value of all cost.

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A: Continuously accumulated interest is the numerical furthest reaches of the overall self-multiplying…

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A: Present value = $15,000 Simple interest rate = 8% Compound effective interest rate = 7.5%

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A: The time is 8 years, 155 days. This can also be said as (8 + 155/365)years

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A: Introduction Present Value: The Value arrived at as of today, for the future value at a certain…

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Q: 2. What's the present value of $25,000 received after 5 years if the appropriate interest rate is…

A: using the PV function