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Engineering Fundamentals: An Intro...

5th Edition
Saeed Moaveni
Publisher: Cengage Learning
ISBN: 9781305084766

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BuyFindarrow_forward

Engineering Fundamentals: An Intro...

5th Edition
Saeed Moaveni
Publisher: Cengage Learning
ISBN: 9781305084766
Chapter 20.8, Problem 1BYG
Textbook Problem
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What are interest–time factors, and how are they used in the analysis of engineering economics problems?

To determine

Explain the interest-time factors and its uses in the analysis of engineering economics problems.

Explanation of Solution

The interest-time factor is the shortcut method used to avoid long writing formulas. The interest-time factor technique is used while solving various cash flow occurrences with equivalent values.

In engineering economics problems, these interest-time factors are used to shortcut the method for the calculation of long formulas. For example, the expression to calculate the uniform series payment for the given present value using the interest-time factor is,

(AP,i,n)=[(i)(1+i

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Chapter 20 Solutions

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