Question
Using a financial calculator, how do you find the answer? 1. A gold mine is expected to bring $10,000 a year for the first 10
Using a financial calculator, how do you find the answer?
1. A gold mine is expected to bring $10,000 a year for the first 10 years, and $5,000 per year for the 2nd 10 years. Also, it will require $30,000 outlay to properly close the mine at the end of 20 years. If you want 20% rate of return on this investment, how much money is the present value of the mine?
ANSWER: PV= $44,539
2. At a growth rate of 8%, how long does it take a sum to double?
ANSWER: n=9
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The Palgrave Handbook Of Technological Finance
Authors: Raghavendra Rau, Robert Wardrop, Luigi Zingales
1st Edition
3030651169, 978-3030651169
