Dakota Hi-C Steel signed a contract that will generate revenue of $210,000 now, $226,800 in year 1, and amounts increasing by 8% per year through year 5. Calculate the future worth of the contract at an interest rate of 8% per year. Also, develop the FV function that will correctly determine F for revenues placed in cells B2 through B7.
Dakota Hi-C Steel signed a contract that will generate revenue of $210,000 now, $226,800 in year 1, and amounts increasing by 8% per year through year 5. Calculate the future worth of the contract at an interest rate of 8% per year. Also, develop the FV function that will correctly determine F for revenues placed in cells B2 through B7.
Chapter1: Financial Statements And Business Decisions
Section: Chapter Questions
Problem 1Q
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Dakota Hi-C Steel signed a contract that will
generate revenue of $210,000 now, $226,800 in
year 1, and amounts increasing by 8% per year
through year 5. Calculate the future worth of the
contract at an interest rate of 8% per year. Also,
develop the FV function that will correctly determine
F for revenues placed in cells B2
through B7.
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