28. You are thinking about investing in a mine that will produce

$12,000 worth of ore in the first year. As the ore closest to the surface is removed it will become more difficult to extract the ore. Therefore, the value of the ore that you mine will decline at a rate of 9%

per year forever. If the appropriate interest rate is

5%,then the value of this mining operation is closest to:

18. You decide you want your child to be a millionaire. You have a son today and you deposit $10,000 in an investment account that earns 7% per year. The money in the account will be distributed to your son whenever the total reaches $1,500,000. How old will your son be when he gets the money

17. A company is considering a project which will initially cost $105000.

It believes this project will generate a stream of cash flows of $29000

per annum forever.If the discount rate for this project is 13%, what is the project's NPV?Formula: