need hand calculation 4- A set of cash flows begins at $20,000 the first year, with an increase each year until n =76 interest rate is 8%, what is the present value when10 years. If theA(a) the annual increase is $2000?(b) the annual increase is 10%?

(a) annual increase is $2000 Present value of cash flow = cash flow(1+r)n Year Cash Flow Present…

A set of cash flows begins at $20,000 the first year, with an increase each year until n = 10 years. If the interest rate is 8%, what is the present value when (a) the annual increase is $2000? (b) the annual increase is 10%?

A set of cash flows begins at $20,000 the first year, with an increase each year until n = 10 years. If the interest rate is 8%, what is the present value when (a) the annual increase is $2000? (b) the annual increase is 10%?

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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need hand calculation

4- A set of cash flows begins at $20,000 the first year, with an increase each year until n =
76 interest rate is 8%, what is the present value when
10 years. If the
A
(a) the annual increase is $2000?
(b) the annual increase is 10%?

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