The design company CasaOffshore in Casablanca Offshoring Park is evaluating the purchase of automatic tools to automate the design process. The company just purchased an upgraded DgCAD software for $5000 now and annual payments of $500 per year for 5 years starting year 1 for annual upgrades with $50 increase each year. Using a rate of 12% per year and a predicted life of 5 years, find the equivalent TOTAL present worth (DgCAD software + annual upgrade+ increase).

hello guys , i need to know the answer 6700 , from where we get it , with calculations and factors only please help!!

thank you so much,