A new roof will cost $9,000. It will be installed in 22 years. If the interest rate is 9% per year, how much must be saved each year to accumulate $9,000 after 22 years? N1232456789Single PaymentCompoundAmount PresentFactor Worth FactorTo Find FGiven PF/P1.09001.18811.29501.41161.5386Discrete Compounding; i = 9%CompoundAmountFactor1.67711.82801.99262.1719To Find PGiven FP/F0.91740.84170.77220.70840.64990.59630.54700.50190.4604To Find FGiven AF/A1.00002.09003.27814.57315.98477.52339.200411.028513.0210Uniform SeriesPresentWorth FactorTo Find PGiven AP/A0.91741.75912.53133.23973.88974.48595.03305.53485.9952SinkingFundFactorTo Find AGiven FA/F1.00000.47850.30510.21870.16710.13290.10870.09070.0768CapitalRecoveryFactorTo Find AGiven PA/P1.09000.56850.39510.30870.25710.22290.19870.18070.1668 9101112131415161718192021222324252.17192.36742.58042.81273.06583.34173.64253.97034.32764.71715.14175.60446.10886.65867.25797.91118.62310.46040.42240.38750.35550.32620.29920.27450.25190.23110.21200.19450.17840.16370.15020.13780.12640.116013.021015.192917.560320.140722.953426.019229.360933.003436.973741.301346.018551.160156.764562.873369.531976.789884.70095.99526.41776.80527.16077.48697.78628.06078.31268.54368.75568.95019.12859.29229.44249.58029.70669.82260.07680.06580.05690.04970.04360.03840.03410.03030.02700.02420.02170.01950.01760.01590.01440.01300.01180.16680.15580.14690.13970.13360.12840.12410.12030.11700.11420.11170.10950.10760.10590.10440.10300.1018

A sinking fund is a financial mechanism used by organizations or individuals to systematically set…

Single Payment Compound Amount Discrete Compounding; i = 9% Present Factor Worth Factor To Find P Given F To Find F Given P Compound Amount Factor To Find F Given A Uniform Series Present Worth Factor To Find P Given A Sinking Fund Factor To Find Given

Single Payment Compound Amount Discrete Compounding; i = 9% Present Factor Worth Factor To Find P Given F To Find F Given P Compound Amount Factor To Find F Given A Uniform Series Present Worth Factor To Find P Given A Sinking Fund Factor To Find Given

Microeconomic Theory

12th Edition

ISBN:9781337517942

Author:NICHOLSON

Publisher:NICHOLSON

Chapter17: Capital And Time

Section: Chapter Questions

Problem 17.6P

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Question

A new roof will cost $9,000. It will be installed in 22 years. If the interest rate is 9% per year, how much must be saved each year to accumulate $9,000 after 22 years?

N
1
23
2
456789
Single Payment
Compound
Amount Present
Factor Worth Factor
To Find F
Given P
F/P
1.0900
1.1881
1.2950
1.4116
1.5386
Discrete Compounding; i = 9%
Compound
Amount
Factor
1.6771
1.8280
1.9926
2.1719
To Find P
Given F
P/F
0.9174
0.8417
0.7722
0.7084
0.6499
0.5963
0.5470
0.5019
0.4604
To Find F
Given A
F/A
1.0000
2.0900
3.2781
4.5731
5.9847
7.5233
9.2004
11.0285
13.0210
Uniform Series
Present
Worth Factor
To Find P
Given A
P/A
0.9174
1.7591
2.5313
3.2397
3.8897
4.4859
5.0330
5.5348
5.9952
Sinking
Fund
Factor
To Find A
Given F
A/F
1.0000
0.4785
0.3051
0.2187
0.1671
0.1329
0.1087
0.0907
0.0768
Capital
Recovery
Factor
To Find A
Given P
A/P
1.0900
0.5685
0.3951
0.3087
0.2571
0.2229
0.1987
0.1807
0.1668

9
10
11
12
13
14
15
16
17
18
19
20
21
22
23
24
25
2.1719
2.3674
2.5804
2.8127
3.0658
3.3417
3.6425
3.9703
4.3276
4.7171
5.1417
5.6044
6.1088
6.6586
7.2579
7.9111
8.6231
0.4604
0.4224
0.3875
0.3555
0.3262
0.2992
0.2745
0.2519
0.2311
0.2120
0.1945
0.1784
0.1637
0.1502
0.1378
0.1264
0.1160
13.0210
15.1929
17.5603
20.1407
22.9534
26.0192
29.3609
33.0034
36.9737
41.3013
46.0185
51.1601
56.7645
62.8733
69.5319
76.7898
84.7009
5.9952
6.4177
6.8052
7.1607
7.4869
7.7862
8.0607
8.3126
8.5436
8.7556
8.9501
9.1285
9.2922
9.4424
9.5802
9.7066
9.8226
0.0768
0.0658
0.0569
0.0497
0.0436
0.0384
0.0341
0.0303
0.0270
0.0242
0.0217
0.0195
0.0176
0.0159
0.0144
0.0130
0.0118
0.1668
0.1558
0.1469
0.1397
0.1336
0.1284
0.1241
0.1203
0.1170
0.1142
0.1117
0.1095
0.1076
0.1059
0.1044
0.1030
0.1018

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