2. Consider the project balances given below for a typical investment project with a service life of four years.(a) Construct the cash flows of the project. (Round to the nearest dollar.)Project Balance (B,)- $1,400- $1,500An- $1,4001- $1,300- $1,10023$3824SO(b) Find the interest rateiused in calculating the project balances.The interest rate used in calculating the project balances is%. (Round to the nearest whole number.)(c) Would you accept this project if your MARR is 10%?YesNo

Answered: Image /qna-images/answer/5e3a9c7c-a5a1-4b46-a301-227d7dc673b7.jpg

onstruct the cash flows of the project. (Round to the nearestdollar.) An Project Balance (B,) - $1,400 - $1,500 - $1,300 - $1,100 so - $1,400 1 2 3 $382 4 nd the interest rateiused in calculating the project balances. terest rate used in calculating the project balances is %. (Round to the nearest whole number.) puld you accept this project if your MARR is 10%? Yes No %24

onstruct the cash flows of the project. (Round to the nearestdollar.) An Project Balance (B,) - $1,400 - $1,500 - $1,300 - $1,100 so - $1,400 1 2 3 $382 4 nd the interest rateiused in calculating the project balances. terest rate used in calculating the project balances is %. (Round to the nearest whole number.) puld you accept this project if your MARR is 10%? Yes No %24

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

2. Consider the project balances given below for a typical investment project with a service life of four years.
(a) Construct the cash flows of the project. (Round to the nearest dollar.)
Project Balance (B,)
- $1,400
- $1,500
An
- $1,400
1
- $1,300
- $1,100
2
3
$382
4
SO
(b) Find the interest rateiused in calculating the project balances.
The interest rate used in calculating the project balances is
%. (Round to the nearest whole number.)
(c) Would you accept this project if your MARR is 10%?
Yes
No

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