Sunday 26th 2023 Analysis II: For expansion purposes, the company signed a lease of a 50,000 $ initial cost now to move into a larger building. Starting year 5 , the company started making noticeable sales with generated revenues of 1,000$ per year for the next 8 years, with a constant 100$ increase starting the 6^("th ") year, and up to year 12 . The company was doing financially good and decided to orient their activities on their expansion plans. For that purpose, at year 15 , the company made an investment in a fourth company with an amount of 2,000 $. Assume a 10% interest rate. 1- Compute the total equivalent present worth of all the operations
Sunday 26th 2023 Analysis II: For expansion purposes, the company signed a lease of a 50,000 $ initial cost now to move into a larger building. Starting year 5 , the company started making noticeable sales with generated revenues of 1,000$ per year for the next 8 years, with a constant 100$ increase starting the 6^("th ") year, and up to year 12 . The company was doing financially good and decided to orient their activities on their expansion plans. For that purpose, at year 15 , the company made an investment in a fourth company with an amount of 2,000 $. Assume a 10% interest rate. 1- Compute the total equivalent present worth of all the operations
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Sunday 26th 2023 Analysis II: For expansion purposes, the company signed a lease of a 50,000 $ initial cost now to move into a larger building. Starting year 5 , the company started making noticeable sales with generated revenues of 1,000$ per year for the next 8 years, with a constant 100$ increase starting the 6^("th ") year, and up to year 12 . The company was doing financially good and decided to orient their activities on their expansion plans. For that purpose, at year 15 , the company made an investment in a fourth company with an amount of 2,000 $. Assume a 10% interest rate.
1- Compute the total equivalent present worth of all the operations
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