EBK PRINCIPLES OF MICROECONOMICS
EBK PRINCIPLES OF MICROECONOMICS
11th Edition
ISBN: 8220100792908
Author: Fair
Publisher: YUZU
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Chapter 11.A, Problem 4P

Calculate the present value of the income streams A to E in Table 1 at an 8 percent interest rate and again at a 10 percent rate. Suppose the investment behind the flow of income in E is a machine that cost $1,235 at the beginning of year 1. Would you buy the machine if the interest rate were 8 percent? if the interest rate were 10 percent?

Chapter 11.A, Problem 4P, Calculate the present value of the income streams A to E in Table 1 at an 8 percent interest rate

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DATA GEMS: How to Access Income Data Tables and Reports From the CPS ASEC; Author: U.S. Census Bureau;https://www.youtube.com/watch?v=BWpVC-Clczw;License: Standard Youtube License