Contemporary Engineering Economics (6th Edition)
Contemporary Engineering Economics (6th Edition)
6th Edition
ISBN: 9780134105598
Author: Chan S. Park
Publisher: PEARSON
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Chapter 3, Problem 26P
To determine

Calculate the annual value.

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What is the future worth of each given series of payments?(a) $8,000 at the end of each year for five years at 7% compounded annually.(b) $10,000 at the end of each year for eight years at 8% compounded annually.(c) $18,000 at the end of each year for 20 years at 10% compounded annually.(d) $7.000 at the end of each year for 12 years at 12% compounded annually.
Which of the two rates would yield the larger amount in 1 year? (A) 2% compounded quarterly B) 2.02% compounded annually
You bought an antique car three years ago for $500 000. Today it is worth $650 000.(a) What annual interest rate did you earn if interest is compounded yearly?(b) What monthly interest rate did you earn if interest is compounded monthly?
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