A US car assembly plant, plans to build two new plantas in China as part of its strategic growth plan in Asia. The company estimates that it must make annual investments of $46,344,302 millions over an 8-year period. How much should the company invest at an annual interest rate of 3%, sufficient to comply with the annual paymentes, if the first payment will be made within 4 years from now? Draw the cash flow diagram.

A US car assembly plant, plans to build two new plantas in China as part of its strategic growth plan in Asia. The company estimates that it must make annual investments of $46,344,302 millions over an 8-year period. How much should the company invest at an annual interest rate of 3%, sufficient to comply with the annual paymentes, if the first payment will be made within 4 years from now? Draw the cash flow diagram.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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