A company is considering expanding their production capabilities with a new machine that costs $53,000 and has a projected lifespan of 9 years. They estimate the increased production will provide a constant $6,000 per year of additional income. Money can earn 0.7% per year, compounded continuously. Should the company buy the machine? No, the present value of the machine is less than the cost by o $ 5643 o 666 over the life of the machine
A company is considering expanding their production capabilities with a new machine that costs $53,000 and has a projected lifespan of 9 years. They estimate the increased production will provide a constant $6,000 per year of additional income. Money can earn 0.7% per year, compounded continuously. Should the company buy the machine? No, the present value of the machine is less than the cost by o $ 5643 o 666 over the life of the machine
Chapter6: Exponential And Logarithmic Functions
Section: Chapter Questions
Problem 8RE: Suppose an investment account is opened with aninitial deposit of 10,500 earning 6.25...
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Why is the answer 666 and not 5643? :( tysm in advance
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