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1.7. A small company plans to spend $10,000 in year 2 and $10,000 in year 5. At an interest rate of 10% per year, compounded

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1.7. A small company plans to spend $10,000 in year 2 and $10,000 in year 5. At an interest rate of 10% per year, compounded semiannually, the equation that represents the equivalent annual worth is: (Draw the cash flow diagram) a. A = 10,000(P/F, 10%, 2)(A/F, 10%, 5) + 10,000(A/F, 10%, 5) b. A = 10,000(P/F, 10%, 4)(A/P, 10%. 10) + 10,000(A/F, 10%, 10) c. A = 10,000(P/F, 5%, 4)(A/P, 5%. 10) + 10,000(A/F, 5%, 10) d. A= 10,000(P/F, 5%, 4)(A/F, 5%. 10) + 10,000(A/F, 10%, 5)

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