A company estimates that the cost of new capacity additions follows the function f(y) = 0.0358y0.66, where y is the number of units and f(y) in millions of dollars. Demand is increasing at a rate of 3,500 units per year. The company uses a 10% per year interest rate. What is the present value of the cost of the next nine capacity additions?
A company estimates that the cost of new capacity additions follows the function f(y) = 0.0358y0.66, where y is the number of units and f(y) in millions of dollars. Demand is increasing at a rate of 3,500 units per year. The company uses a 10% per year interest rate. What is the present value of the cost of the next nine capacity additions?
Advanced Engineering Mathematics
10th Edition
ISBN:9780470458365
Author:Erwin Kreyszig
Publisher:Erwin Kreyszig
Chapter2: Second-order Linear Odes
Section: Chapter Questions
Problem 1RQ
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