Consider the following three cash flow series: Determine the values of X and Y so that you are indifferent between al three cash flows if your TVOM is 11% per year compounded yearly. End of Year Cash Flow Series A Cash Flow Series B Cash Flow Series C 1,982.86 1,000.00 1,700.27 1 1.652.38 1.500.00 1.700.27 1,321.90 2,000.00 1,700.27 $4 $ 24 3 991.43 2,500.00 850.13

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Consider the following three cash flow series:
Determine the values of X and Y so that you are indifferent between all three cash flows if your TVOM is 11% per year compounded yearly.
End of Year
Cash Flow Series A Cash Flow Series B Cash Flow Series C
1,982.86
1,000.00
1,700.27
24
1
1,652.38
1,500.00
1,700.27
24
2
1,321.90
2,000.00
1,700.27
$4
$4
24
3
991.43
2,500.00
850.13
$4
24
24
4
660.95
3,000.00
850.13
24
24
24
1,000.00
(2,500.00)
850.13
Value of X is
Value of Y is
Transcribed Image Text:Consider the following three cash flow series: Determine the values of X and Y so that you are indifferent between all three cash flows if your TVOM is 11% per year compounded yearly. End of Year Cash Flow Series A Cash Flow Series B Cash Flow Series C 1,982.86 1,000.00 1,700.27 24 1 1,652.38 1,500.00 1,700.27 24 2 1,321.90 2,000.00 1,700.27 $4 $4 24 3 991.43 2,500.00 850.13 $4 24 24 4 660.95 3,000.00 850.13 24 24 24 1,000.00 (2,500.00) 850.13 Value of X is Value of Y is
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