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Finance

Answer the following compounding/discount questions assuming year end cash flows:

A. The west bend community hospital purchased an MRI machine for $50 million, using a 10 year loan at 10.5% interest. What will be the annual payment for this machine?

B. The price of the MRI nxchibd ($50 million) is rising at a fixed rate of 2.2% each year. How much would it costs to replace the MRI machine ten years from now?

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Financial Management, Finance

Category:- Financial Management
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