Contemporary Engineering Economics (6th Edition)
6th Edition
ISBN: 9780134105598
Author: Chan S. Park
Publisher: PEARSON
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Chapter 15, Problem 14P
To determine
Combination of project.
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You have a project with the net cash flow summarized below. The project is not suitable for direct reinvestment, so incoming revenue will be placed into an external account that yields 2.5%. (The "External Reinvestment Rate" is 2.5%). What is the ERR for this project? (Provide your answers in digits only with 2 decimal places. No comas or pesos or percent.)
On January 1, 2018, Kline Inc. borrowed P9,000 from Harvard Co., and on January 1,
2020, it borrowed P12,000. On January 1, 2021, Kline Inc. paid a P7,000 half payment.
The loan balance would be amortized over two payments, one on January 1, 2022 and
the other on January 1, 2023, with the second payment being 50 percent bigger than the
first. What is the amount of each payment if the interest rate is 10%?
Chapter 15 Solutions
Contemporary Engineering Economics (6th Edition)
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