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1 The annual operating and maintenance (O&M) expenses of a company are $195,000 at EOY 1 decreasing by $8,500 per year until EOY 10. If
1 The annual operating and maintenance (O&M) expenses of a company are $195,000 at EOY 1 decreasing by $8,500 per year until EOY 10. If the annual interest rate is 8.75%, what is the future equivalent of the O&M expenses at EOY 10? ut of O a. $2,440,542 b. $3,414,465 C. $1,054,857 d. $2,550,068 e. $3,304,939 15 The annual cost of a certain service is $38,000 at EOY I which decreases by 5.5% per year for a period of 12 years. If the interest rate is 5.5% per year, what is the present equivalent of the annual cost at the beginning of year 12 ed out of an a. $267,226 b. $236,057 c. $456,000 d. $253,294 e. $432,227
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