Find the present worth of a simple maufracturing

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Reference no: EM13180621

Find the present worth (present cost) of a simple maufracturing project where the initial investment is $413,000 and the cost of operation is $32,300 per year, inceasing by $4,000 per year (arithmetic gradient) beginning at the end of the third year ($4,000 at time 3, $8,000 at time 4, etc.) The life is 7 years and the interest rate is 15%. There is no salvage value.

Reference no: EM13180621

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