ENGINEERING ECO ALANYSIS W/STUDY GUIDE
14th Edition
ISBN: 9780190072537
Author: NEWNAN
Publisher: Oxford University Press
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Question
Chapter 10A, Problem 1P
To determine
(a)
The annual investment that should be made.
Expert Solution
Answer to Problem 1P
The annual investment is
Explanation of Solution
Given:
The compound amount in future is
The time period is
The earning of engineer is
Concept used:
Write the expression for annual investment.
Here, the compound amount in future is
Calculations:
Assume the interest rate is
Calculate the annual investment.
Substitute
Conclusion:
Thus, the annual investment to be made is
To determine
(b)
The investment per year by employee and employer.
Expert Solution
Answer to Problem 1P
The amount to be invested by the employer is
The amount to be invested by the employee is
Explanation of Solution
Given:
The compound amount in future is
The time period is
The earning of engineer is
Calculations:
Assume the interest rate is
Calculate the annual investment.
Substitute
Calculate the investment by the employer.
The amount to be invested by employer is
Calculate the investment by employee.
The amount to be invested by employee is
Conclusion:
Thus, the amount to be invested by the employer is
The amount to be invested by the employee is
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Chapter 10A Solutions
ENGINEERING ECO ALANYSIS W/STUDY GUIDE
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