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C Allowed: calculator and 2-sheet cheat sheet. Remember to show your TK. 1. Your company is considering buying equipment. The interest rate is 5%. What
C Allowed: calculator and 2-sheet cheat sheet. Remember to show your TK. 1. Your company is considering buying equipment. The interest rate is 5%. What is the Future Worth of the cash flow in 3 years? A P = -40k A = 18 k Year 0 1 2 3 -$40k 18k 18k 18k W 10.05 F.W. = - 40k (F/P, ';n) = -40k ( 1.05) + 18h -40h (F/P n) + 18h (F/A, i, n) -46305 -$10440 34 [ 1] (1.05) . . 05 + 18k(3.1525)
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