A what is the present value of the following future receipt, Ask an Expert

Economics

a) What is the present value of the following future receipt: $16,000 63 years from now at 10.5% compounded annually?

b) What is the accumulated value of series of payment of $ 250 at the end of each year for 25 years at 12.5% compounded annually?

c) It is estimated that a certain piece of equipment can save $6,000 per year in labor and material cost. The equipment has an expected life of five years and no salvage value. If the company must earn a 15% annual return on such investments, how much could be justified now for the purchase of this piece of equipment?

View complete question

Business Economics, Economics

Category:- Business Economics
Reference No.:- M92001811

Have any Question?Write your Review or question?

Related Questions in Business Economics

Im looking for someone to explain how to use excel for the

I'm looking for someone to explain how to use excel for the following questions based on the senario: Use 0.10 as the significance level (α). Conduct a one-sample hypothesis test to determine if the networks should annou ...

The average number of women in a shelter each night is 250

The average number of women in a shelter each night is 250 with a standard deviation of 75. If the city's capacity is 350 people will there be enough beds to meet the demand 95% of the time? How many women will be in the ...

Imagine a small city chambana with a labor demand function

Imagine a small city Chambana with a labor demand function E=200-1/2w and a labor supply function E=2w-100. Assume that there is a sudden influx of 40 perfect substitutes immigrants. a. How does this affect the natives i ...

What are some ways being able to visually see data in a

What are some ways being able to visually see data in a graphic presentation beneficial?

The poverty line for a family of 4 in 2011 was around 23k

The poverty line for a family of 4 in 2011 was around 23K. Do you think this is a fair assessment of the poverty line, and Can a family live on 23K without help?

With most of the worlds nations either having moved to

With most of the world's nations either having moved to market economies, does the nationalization of foreign industries and property have its place?

1 what is gaap2 what is an audit and why are audits

1. What is GAAP? 2. What is an audit and why are audits performed? 3. What are the three main profibability ratios, and how is each calculated? 4. What is the value of an income statment?

Money in a bank account earns 7 simple interest per yeara

Money in a bank account earns 7% simple interest per year. (a) What is the effective rate of interest for the time interval [3,4]? (b) What is the effective rate of discount for the time interval [3,4]?

What are the differences between the classic marx approach

What are the differences between the classic Marx approach to capitalist globalization and the "world systems theory"?

One hundred twenty-five marine recruits participated in a

One hundred twenty-five marine recruits participated in a study to assess the benefits of a strength training program. Each recruit was given a push-up test at the beginning and end of the program. The change in number o ...

4,153,160 Questions Asked
13,132 Experts
2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Recent Questions

Ask Business Economics Expert