An Air Force Research Laboratory has spent $62 million over a decade developing and testing the Active Denial System, a device which uses energy beams to allow soldiers to break up unruly mobs without firing a shot. Another $9 million will be spent over the next two years. Assume the $62 million was spent evenly in years 1 through 10 and that the $9 million will be expended evenly in years 11 and 12. What is the total future worth of the expenditures in year 12 at an interest rate of 8% per year? Solve using (a) tabulated factors, and (b) write the calculator function to find the future worth.
An Air Force Research Laboratory has spent $62 million over a decade developing and testing the Active Denial System, a device which uses energy beams to allow soldiers to break up unruly mobs without firing a shot. Another $9 million will be spent over the next two years. Assume the $62 million was spent evenly in years 1 through 10 and that the $9 million will be expended evenly in years 11 and 12. What is the total future worth of the expenditures in year 12 at an interest rate of 8% per year? Solve using (a) tabulated factors, and (b) write the calculator function to find the future worth.
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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An Air Force Research Laboratory has spent $62 million over a decade developing and testing the Active Denial System, a device which uses energy beams to allow soldiers to break up unruly mobs without firing a shot. Another $9 million will be spent over the next two years. Assume the $62 million was spent evenly in years 1 through 10 and that the $9 million will be expended evenly in years 11 and 12. What is the total future worth of the expenditures in year 12 at an interest rate of 8% per year? Solve using (a) tabulated factors, and (b) write the calculator function to find the future worth.
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