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answer all questions please. 1) A person invested SR X in an account that pays Y% compounded annually. The first withdraw happens at the end

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answer all questions please.
1) A person invested SR X in an account that pays Y% compounded annually. The first withdraw happens at the end of year 3. The payments increase at 5% every year until the end of 6th year. Thereafter, the payments decrease by SR Z every year. The planning horizon is W years. Calculate the value of the first withdraw such that this investment is attractive (Use PW analysis) Serial Number 1-5, 36-39, and 70-77 6-10 and 65-69 11-15 and 60-64 16-20 and 55-59 21-25 and 50-54 26-30 and 45-49 31-35 and 40-44 Value of X Value of Y Value of Z Value of W 1,000,000 5% 1,000 15 1,200,000 10% 2,000 17 1,500,000 15% 3,000 15 1,700,000 5% 4,000 17 2,000,000 10% 5,000 15 2,200,000 15% 1,000 17 2,500,000 5% 2,000 15 2) A technology company is planning to purchase one of two chips. Due to the pace of technological change in this area, it is realistic to assume that these are one-shot investments. The expected cash flows for each machine are shown below. MARR is P % per year. Which alternative is preferred (use FW analysis) Alternative 1 Alternative 2 Initial SRX SRY investment Expected life Z years W years Salvage Value SR 35,000 0 Annual Income SR 60,000 SR 85,000 Annual SR 30,000 SR 15,000 Expense Serial Number 1-5, and 45-49 6-10 and 50-54 11-15 and 55-59 16-20 and 60-64 21-25 and 40-44 26-30 and 36-39 31-35 and 65-77 Value of X Value of Value of Value of Value of Y z W P 100,000 300,000 5 7 5 120,000 320,000 7 10 8 150,000 350,000 5 8 10 170,000 370,000 6 9 12 200,000 400,000 5 8 15 220,000 420,000 4 6 18 250,000 450,000 6 10 20 3) Two public projects are being considered. The first project has a construction cost of SR X. The operating cost is SR 40,000 annually and maintenance is required every 5 years of the amount SR Z. The second project has a one-time initial cost SR Y with an annual operating cost of SR 80,000 and requires maintenance of SR W every 3 years. Assume R% MARR. Using capitalized cost analysis, calculate the CC for the first and second projects and then decide which alternative should be chosen. Serial Number Value of X Value of Y Value of z 31,35, and 45-49 2,000,000 1,000,000 40,000 21-25 and 50-54 2,200,000 1,200,000 45,000 16-20 and 55-59 2,500,000 1,500,000 50,000 11-15 and 60-64 2,700,000 1,700,000 55,000 6-10 and 40-44 3,000,000 2,000,000 60,000 1-5 and 36-39 3,200,000 2,200,000 50,000 26-30 and 65-77 3,500,000 2,500,000 55,000 Value of Value of W R 30,000 5 35,000 8 40,000 10 45,000 12 48,000 15 35,000 18 40,000 20

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