What is the present worth of the subscription income

Reference no: EM131004273

Verizon Communications said it plans to spend $22.9 billion in expanding its fiber-optic Internet and television network through 2010 so that it can compete with cable TV providers like Comcast Corp. If the company gets 950,000 customers in year 1 and grows its customer base by 20% per year, what is the present worth of the subscription income through year 5 if income averages $600 per customer per year and the company uses a MARR of 10% per year?

Reference no: EM131004273

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