Solve the following problems: 1. The offshore design group at Bechtel just purchased upgraded CAD software for $5000 now and annual payments of $500 per year for 6 years starting 3 years from now for annual up-grades. What is the present worth in year 0 of the payments if the interest rate is 8% per year? PT=$?? 1 N i=8% per year 3 4 5 6 7 8

Solve the following problems: 1. The offshore design group at Bechtel just purchased upgraded CAD software for $5000 now and annual payments of $500 per year for 6 years starting 3 years from now for annual up-grades. What is the present worth in year 0 of the payments if the interest rate is 8% per year? PT=$?? 1 N i=8% per year 3 4 5 6 7 8

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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