An electrical engineer wants to deposit an amount P now such that she can withdraw an equal annual amount of A1 = $3000 per year for the first 5 years, starting 1 year after the deposit, and a different annual withdrawal of A2 = $4000 per year for the following 3 years. How would the cash flow diagram appear if i = 9% per year?

An electrical engineer wants to deposit an amount P now such that she can withdraw an equal annual amount of A1 = $3000 per year for the first 5 years, starting 1 year after the deposit, and a different annual withdrawal of A2 = $4000 per year for the following 3 years. How would the cash flow diagram appear if i = 9% per year?

Corporate Fin Focused Approach

5th Edition

ISBN:9781285660516

Author:EHRHARDT

Publisher:EHRHARDT

Chapter4: Time Value Of Money

Section: Chapter Questions

Problem 34P

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