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Engineering Economy
16th Edition
ISBN: 9780133582819
Author: Sullivan
Publisher: DGTL BNCOM
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Chapter 5, Problem 65SE
To determine
Calculate the number of time period.
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Q3
rates and the period in which the X value is calculated and then calculate the X value.
Draw the cash flow diagrams corresponding to the formulas given below. Specify the interest
a. X = 1000 – 1000(A/P,8%,9)[[P/F,8%,3) + (P/F,8%,5) + (P/F,8%,8)]
b. X = [300(F/A,%10,3)- 200(F/G,%10,3)](F/P,%10,1) + [300(F/A, %10,3) + 200(F/G,%10,3)](P/
F,%10,3)
If you borrowed $30,000 at 25% annual interest. You agreed to repay the loan with five equal annual payments.
How much of the total amount repaid is interest?
How much of the third annual payment is interest, and how much principal is there?
If you decided to pay off your loan after the third payment, how much will you pay?
(Please Include Equations used and cashflow diagram)
(Please don't use excel)
Draw the cash flow diagrams corresponding to the formulas given below. Specify the interest rates and the period in which the X value is calculated. (Note: You are not expected to calculate the X value!)
a. X = [300(F/A; %6; 4) - 100 (F/P; %6; 2)1(A/P; %6; 2)
b. X = [300(F/A, %10,3)-200(F/G, %10,3)](F/P,%10,1) + [300(F/A,%10,3) + 200(F/G,%10,3)|(P/F,%10,3)
Chapter 5 Solutions
Engineering Economy
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