Determine the present worth of a geometric gradient series with a cash flow of $50,000 in year 1 and increases of 6% each year through year 8. The in terest rate is 10% per year. a. $120,573 b. $220,573 c. $520,573 d. $420,573 e. $320,573
Determine the present worth of a geometric gradient series with a cash flow of $50,000 in year 1 and increases of 6% each year through year 8. The in terest rate is 10% per year. a. $120,573 b. $220,573 c. $520,573 d. $420,573 e. $320,573
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Determine the present worth of a geometric gradient series with a cash flow of $50,000 in year 1 and increases of 6% each year through year 8. The in terest rate is 10% per year.
a. $120,573
b. $220,573
c. $520,573
d. $420,573
e. $320,573
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