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The initial cost to construct a park is $750,000. Annual maintenance and operating costs are $200,000 per year. This is a permanent park (n = infinity). At an interest rate of 10%, what is the equivalent present cost of the park? An investment of $75,000 results in a savings of $15,000 per year. With 4% interest, how long will it take to pay back the initial investment?

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Financial Management, Finance

Category:- Financial Management
Reference No.:- M92412990

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