lizabeth's company wants to have $ 50 million 7 years from now for a major project expansion. If the company already has $ 11 million in an investment account for the expansion, how much more must the company add to the account now so that it will have the P 30 million 5 years from now if the investment funds earn at an interest rate of 10% per annum?
lizabeth's company wants to have $ 50 million 7 years from now for a major project expansion. If the company already has $ 11 million in an investment account for the expansion, how much more must the company add to the account now so that it will have the P 30 million 5 years from now if the investment funds earn at an interest rate of 10% per annum?
Managerial Accounting
15th Edition
ISBN:9781337912020
Author:Carl Warren, Ph.d. Cma William B. Tayler
Publisher:Carl Warren, Ph.d. Cma William B. Tayler
Chapter12: Capital Investment Analysis
Section: Chapter Questions
Problem 15E
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Elizabeth's company wants to have $ 50 million 7 years from now for a major project expansion. If the company already has $ 11 million in an investment account for the expansion, how much more must the company add to the account now so that it will have the P 30 million 5 years from now if the investment funds earn at an interest rate of 10% per annum?
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