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a) Write the equation to evaluate this project when using Present Worth Method b) What is the present worth of this project? Instructions: Use 4 digits in your calculations and reporting the answers. Do not write commas or apostrophes. Do not write $ (dollar sign) or any other symbol, just write the number. PW = $ %3D

a) Write the equation to evaluate this project when using Present Worth Method b) What is the present worth of this project? Instructions: Use 4 digits in your calculations and reporting the answers. Do not write commas or apostrophes. Do not write $ (dollar sign) or any other symbol, just write the number. PW = $ %3D

Essentials Of Investments
Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
Section: Chapter Questions
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Engineering Economics Please answer a,b, and c Thank you!
a) Write the equation to evaluate this project when using Present Worth Method b) What is the present worth of this project? Instructions: Use 4 digits in your calculations and reporting the answers. Do not write commas or apostrophes. Do not write $ (dollar sign) or any other symbol, just write the number. PW = $ c) Is this a good investment or not?
Transcribed Image Text:a) Write the equation to evaluate this project when using Present Worth Method b) What is the present worth of this project? Instructions: Use 4 digits in your calculations and reporting the answers. Do not write commas or apostrophes. Do not write $ (dollar sign) or any other symbol, just write the number. PW = $ c) Is this a good investment or not?
Question 2 A machine to sell ice- cream is available in the market for $18000. You could sell ice creams for $2 per cone, and you estimate to be able to sell 49 cones per day if renting a place in the local mall. You can operate only 323 days per year after considering vacations and holidays. The monthly renting fee in the local mall is $1600 and you can hire 2 employees to take care of the ice cream stand, each with a monthly salary of $900. Material and other costs are $16000 per year. If your MARR is 20% and you are planning to retire in 10 years, answer the following questions:
Transcribed Image Text:Question 2 A machine to sell ice- cream is available in the market for $18000. You could sell ice creams for $2 per cone, and you estimate to be able to sell 49 cones per day if renting a place in the local mall. You can operate only 323 days per year after considering vacations and holidays. The monthly renting fee in the local mall is $1600 and you can hire 2 employees to take care of the ice cream stand, each with a monthly salary of $900. Material and other costs are $16000 per year. If your MARR is 20% and you are planning to retire in 10 years, answer the following questions:
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