Question
You are thinking of building a new machine that will save $2000 in the first year. The machine will then begin to wear out so
You are thinking of building a new machine that will save $2000 in the first year. The machine will then begin to wear out so that the savings decline at a rate of 2% per year forever. What is the present value of the savings if the interest rate is 6% per year?
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The Business Of Personal Finance
Authors: Joseph Calandro Jr, John Hoffmire
1st Edition
1032104562, 978-1032104560
