the maintenance costs associated with an investment are 100,000,000 for the first 10 years and 50,000 per year thereafter. the investment has infinite life. with the interest rate of 10% per annum, calculate the present worth of the annual disbursement
the maintenance costs associated with an investment are 100,000,000 for the first 10 years and 50,000 per year thereafter. the investment has infinite life. with the interest rate of 10% per annum, calculate the present worth of the annual disbursement
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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![the maintenance costs associated with an investment
are 100,000,000 for the first 10 years and 50,000 per
year thereafter. the investment has infinite life. with
the interest rate of 10% per annum, calculate the
present worth of the annual disbursement](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2F9c774570-c1cb-4285-befc-d5b321ff0840%2F237c129f-f3e6-4486-96d8-95e8bea97cf2%2Fzyvpcmm_processed.jpeg&w=3840&q=75)
Transcribed Image Text:the maintenance costs associated with an investment
are 100,000,000 for the first 10 years and 50,000 per
year thereafter. the investment has infinite life. with
the interest rate of 10% per annum, calculate the
present worth of the annual disbursement
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