IE 3201 Chapter : Fund Eng Econ Ch2
Document Summary
I = ipn = (0. 09)(,000)(5) = ,350: simple interest: 12. 5 years (or 13 years: compound interest, simple interest: F = ,000( f / p,10%,2) = ,000(1. 21) = ,200: alternative 1. P = ( p / f ,8%,2) = (0. 8573) = . 88: alternative 2 is preferred. F = ,000( f / p,9%,8) = ,000(1. 9926) = ,948. 2. F = ,250( f / p,4%,12) = ,250(1. 6010) = ,001. 25. F = ,000( f / p,7%,31) = ,000(8. 1451) = ,725. 5. F = ,000( f / p,6%,7) = ,000(1. 5036) = ,072. P = ,500( p / f ,7%,6) = ,500(0. 6663) = ,998. 35. P = ,000( p / f ,8%,15) = ,000(0. 3152) = ,891. 2. P = ,000( p / f ,9%,5) = ,000(0. 6499) = ,998. P = ,000( p / f ,10%,8) = ,000(0. 4665) = ,598. P = ,000( p / f ,8%,5) = ,000(0. 6806) = ,083. 6. F = ,000( f / p,8%,4) = ,000(1. 3605) = ,407. 5.
