4. X generator has a first cost of $20,000, AOC of $15,000, and 5 of $5000 after 4 years. Y generator has a first cost $40,000 with an AOC of $15,000 and 5 of $8000 after 6 years. Find AW of each if the interest rate is 12% per year: 5. A student wants to pay for her education in three years from now. She expects that the tuition fees will be $20000 in three years. Approximately, how much money should she put currently in her savings account if a bank pays 3% interest rate on that account? 6. Assume $100,000 is available for investment where MARR = 16% per year. If alternative X would earn 35% per year on investment of $40,000, and Y would earn 29% per year on investment of $65,000, the weighted averages are:
4. X generator has a first cost of $20,000, AOC of $15,000, and 5 of $5000 after 4 years. Y generator has a first cost $40,000 with an AOC of $15,000 and 5 of $8000 after 6 years. Find AW of each if the interest rate is 12% per year: 5. A student wants to pay for her education in three years from now. She expects that the tuition fees will be $20000 in three years. Approximately, how much money should she put currently in her savings account if a bank pays 3% interest rate on that account? 6. Assume $100,000 is available for investment where MARR = 16% per year. If alternative X would earn 35% per year on investment of $40,000, and Y would earn 29% per year on investment of $65,000, the weighted averages are:
Chapter5: The Time Value Of Money
Section: Chapter Questions
Problem 22P
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Transcribed Image Text:4. X generator has a first cost of $20,000, AOC of $15,000, and S of $5000 after 4 years. Y generator has
a first cost $40,000 with an AOC of $15,000 and 5 of $8000 after 6 years. Find AW of each if the interest
rate is 12% per year:
5. A student wants to pay for her education in three years from now. She expects that the tuition fees
will be $20000 in three years. Approximately, how much money should she put currently in her savings
account if a bank pays 3% interest rate on that account?
6. Assume $100,000 is available for investment where MARR = 16% per year. If alternative X would earn
35% per year on investment of $40,000, and Y would earn 29% per year on investment of $65,000, the
weighted averages are:
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