Question 5 Consider the following cash flow series with the discount rate of 4% per period: t|0 1 $200 200 200 100 0 -100 -200 -300 -400 2 3 4 5 7 6 Draw the corresponding Cash Flow Diagram. Calculate the equivalent worth of this series at t = 7. What is the Ao (initial payment) of the equivalent geometric cash flow over 8 years, given growth rate of 4%?

ENGR.ECONOMIC ANALYSIS
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Question 5
Consider the following cash flow series with the discount rate of 4% per period:
0 1 2
$ 200 200 200 100 0 -100 -200 -300 -400
3 4 5
7
8
Draw the corresponding Cash Flow Diagram. Calculate the equivalent worth of this series at t = 7. What is the
A, (initial payment) of the equivalent geometric cash flow over 8 years, given growth rate of 4%?
Transcribed Image Text:Question 5 Consider the following cash flow series with the discount rate of 4% per period: 0 1 2 $ 200 200 200 100 0 -100 -200 -300 -400 3 4 5 7 8 Draw the corresponding Cash Flow Diagram. Calculate the equivalent worth of this series at t = 7. What is the A, (initial payment) of the equivalent geometric cash flow over 8 years, given growth rate of 4%?
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