Using Interest Factor Table
- Ali invested $300,000 in a small project for an interest rate
of 8%. Four years later, he invested another $600,000 in the same
project but this time for an interest rate of 10%. What is the
total amount of money he is going to receive after 12 years of his
investment period?
- Compressor that has the following costs are under consideration
for using in a new chemical plant. Using interest rate of 10% per
year. Calculate Annual worth Aw for the compressor.
-
|
Compressor
|
First Cost, $
|
60,000
|
Annual operating cost, $ per year
|
20,000
|
Salvage value, $
|
5000
|
Life, Years
|
5
|
Using Interest Factor Table