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Find the present value of an investment in plant and equipment if it is expected to provide annual earnings of $71500for 15 years and to
Find the present value of an investment in plant and equipment if it is expected to provide annual earnings of $71500for 15 years and to have a resale value of $131500at the end of that period. Assume a10% rate and earnings at year end. The present value of 1 at10% for 15 periods is0.23939. The present value of an ordinary annuity at10% for 15 periods is7.60608. The future value of 1 at10% for 15 periods is4.17725.
$543835
$575315
$679638
$1102666
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