P 4-41 (book/static) Question Help You are thinking of making an investment in a new factory. The factory will generate revenues of $1,000,000 per year for as long as you maintain it. You expect that the maintenance costs will start at $50,000 per year and will increase 5% per year thereafter. Assume that all revenue and maintenance costs occur at the end of the year. You intend to run the factory as long as it continues to make a positive cash flow (as long as the cash generated by the plant exceeds the maintenance costs). The factory can be built and become operational immediately and the interest rate is 6% per year. a. What is the present value of the revenues? b. What is the present value of the maintenance costs? c. If the plant costs $10,000,000 to build, should you invest in the factory? a. What is the present value of the revenues? The present value of the revenues is $ (Round to the nearest dollar.) Score: 0 of 1 pt 10 of 19 (18 complete) HW Score: 78.33%, 15.67 of 20 pts XP 4-38 (similar to) Question Help You are saving for retirement. To live comfortably, you decide you will need to save $3 million by the time you are 65. Today is your 30th birthday, and you decide, starting today and continuing on every birthday up to and including your 65th birthday, that you will put the same amount into a savings account. If the interest rate is 10%, how much must you set aside each year to make sure that you will have $3 million in the account on your 65th birthday? The amount to deposit each year is $. (Round to the nearest dollar.)