Answered step by step
Verified Expert Solution
Link Copied!

Question

1 Approved Answer

9 For the independent projects/alternatives shown below, the ones that should NOT be selected are Alternative PW, $ - 25,000 - 12,000 10,000 15.000 C

image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
image text in transcribed
9 For the independent projects/alternatives shown below, the ones that should NOT be selected are Alternative PW, $ - 25,000 - 12,000 10,000 15.000 C and B. o C and D.b D and A. A and B. 10 An engineer who is saving for her retirement plans to deposit $500 every quarter, starting one quarter from now, into an investment account. If the account pays interest at 6% per year, compounded semiannually, the total she will have at the end of 25 years is closest to $145,558.a $112.800.b 65,902 $.CO $50,000.00 11 June In comparing alternatives and J, in the table below, by the present worth method, the value of that must be used in 11,000 P/A,1,n) for alternativelis Alternative! Alternative) Initial cost, S - 150,000 - 250,000 Anmal income. S per year 40,000 Annual expenses. $ per year -9,000 -14.000 Salvage values 25.000 35,000 Life, years 20.000 The interest rate is 15% per year. 18.a 6.b 36.CO 3.do 12 In comparing alternatives I and J, in the table below, by the present worth method, the equation that yields the present worth of alternative lis Alternativel Alternative Initial cost, $ Annual income, $ per year Annual expenses, $ per year Salvage value, $ Life, years - 150,000 20,000 -9,000 25,000 -250,000 40.000 -14,000 35,000 (PW1=-150,000 + 11,000 (P/A 15%, 3) - 25,000 (P.F.15%3.a (PW1=-150,000 - 11,000 (P/A 15%,0) - 25,000 (PF.15%,6.b (PWI-150,000 - 11,000 (PIA15%,6) - 175,000 (P.F.15%,3) -25,000 (P.F.15%6.CO (PWI - 150,000 - 11,000 (PA ,15%,6) - 125,000 (PF.15%,3)+25,000 (P.F.15%,6.do! 13 Jan The value of the future worth for alternative P at an interest rate of 8% per year is closest to P Q First cost, $ -23,000 -30,000 Annual operating cost -4.000 -2,500 $ per year Salvage value, $ 1.000 Life, years 3.000 86,026-5.a 81,274-5.b 70,178-5.C 88,036-.do 14 The present worth of $50,000 now, $10,000 per year in years 1 through 15, and $20,000 per year in years 16 through infinity at 10% per year is closest to 173,940-8.a o Less than $-169,000.b 169,580-S.CO 195,730-S.do 15 June :For example, in order to be able to withdraw $50,000 per year forever at i = 10% per year, the amount of capital required is $500,000.a 200,000.00 100,000.co 600,000.00

Step by Step Solution

There are 3 Steps involved in it

Step: 1

blur-text-image

Get Instant Access to Expert-Tailored Solutions

See step-by-step solutions with expert insights and AI powered tools for academic success

Step: 2

blur-text-image

Step: 3

blur-text-image

Ace Your Homework with AI

Get the answers you need in no time with our AI-driven, step-by-step assistance

Get Started

Recommended Textbook for

The Audit Process Principles Practice And Cases

Authors: Iain Gray, Stuart Manson

3rd Edition

1861529465, 9781861529466

More Books

Students also viewed these Accounting questions

Question

In what ways do personal and social media change how we think?

Answered: 1 week ago

Question

How do virtual communities diff er from physical communities?

Answered: 1 week ago