Question
engineering economics

1000 KD 2. Calculate X in the above cash flow assuming interest rate of 5% (15 pts) a. 3305.1 KD 6530.2 KD d. 4100.0 KD contractor has beer
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Answer #1

Here we have to find the future value of the cash flow

It can be writtten mathematically as follows

FV 1000(1i) 2700(1 + i)*FV 10000.05) 2700 (1 +0.05)*

On solving

Fy-1276.28+ 3125.58

Future value = KD 4401.86

Option B. 4402.6 KD

Please contact if having any query thank you.

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