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Show all work. The answer must include PAINFG and the cash flow diagrams. P = Present value (this value is not used in this problem)
Show all work.
The answer must include PAINFG and the cash flow diagrams.
P = Present value (this value is not used in this problem) A = Annuity; this is the value that is given in this problem i = Effective interest rate n = Number of payments F = Future value; this is the value that we want to find in this problem (F = ?) G = Gradient value (this value is not used in this problem)
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- Andrew forgot that as the RV that he owns for 20 years ages, the O&M will increase. If the O&M begins to increase $250/year starting in Year 7, what is the present value of the maintenance (assume 3% inflation)? Dont forget to include the $3,000 base amount from the prior problem.
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