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1.- A school program in Mobile, Alabama is promoting saving habits among students. How much money would a student have in a savings account after
1.- A school program in Mobile, Alabama is promoting saving habits among students. How much money would a student have in a savings account after 4 years if he or she deposits in cash $ 300 USD every year, at a 9% yearly interest rate? (no deposit in year zero) (Determine the cash flow diagram) 2.- You are the manager of a car painting facility, and you are asked to decide between two painting domes projects with the following information: Dome 1 Dome 2 Initial cost $36,200 $37,000 Annual Operation Cost S 900 S 550 Salvage value $ 4,200 $ 5,005 Useful life 9 9 What would be your recommendation? On which dome invest, using net present worth, if the interest rate is 4% a year? (Indicate which would be the cash flow diagrams)
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