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Question 4. (/6) A=20, B=35, C=10, D=60, E=5, interest is 1% per month, compounded monthly; Calculate the present worth (at t

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Answer #1

Please find below table useful to compute desired results: -

1 A 2B з с 10 4 D 5 E 6 Interest rate per month =1/100 7 8 Year Cash flows PV 90 =B9/(1.01) 0 10 1 =B10*(1+SBS6^-(A10*12) 11

End results would be as follows: -

1 2 3 4 5 6 A B C D E Interest rate per month B 20.00 35.00 10.00 60.00 5.00 19 8 Year Cash flows PV 20.00 15.7513 (15.00) (1

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