If the TPL did agree to fund all costs except the $3 million bond proceeds now available, determine the equivalent annual amount that must be raised in years 4 through 6 to supply all remaining project funds. Assume the TPL will not charge any extra interest over the 7% to the state or city on the borrowed funds.

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
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If the TPL did agree to fund all costs except the $3 million
bond proceeds now available, determine the equivalent
annual amount that must be raised in years 4 through 6 to
supply all remaining project funds. Assume the TPL will
not charge any extra interest over the 7% to the state or
city on the borrowed funds.

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