Interested to Buy Any Domain ? << Click Here >> for more details...
EXAMPLE 34.14 : For a formula of y = [ 1 - 1 / (1 + r) ^ n ] / r, let y = present value, r = interest rate / year, n = number of years to future value of 1 : (a) Find a simple mathematical relationship of y as a function of r when n = 1 million years. (b) What is the present value of $10000, if the annual discount rate is 10 %, forever?
- 1 Answers
- 2042 Views
- I also Faced
- E-Mail Answers
Answer Posted / kangchuentat
(a) When n = 1 million years, it could be approximated as n = infinity. Then y = [ 1 - 1 / (1 + r) ^ n ] / r = [ 1 - 1 / (1 + r) ^ (infinity) ] / r = [ 1 - 1 / (infinity) ] / r = (1 - 0) / r = 1 / r. (b) For future value of $10000 and n = infinity forever, use the equation of y = 1 / r for future value of 1 and interest rate r. As r = 10 % = 0.1, then y = x / r = $10000 / 0.1 = $100000, where x = future value. The answer is given by Kang Chuen Tat; PO Box 6263, Dandenong, Victoria VIC 3175, Australia; SMS +61405421706; chuentat@hotmail.com; http://kangchuentat.wordpress.com.
| Is This Answer Correct ? | 0 Yes | 0 No |
Post New Answer View All Answers
What is a barometric condenser?
What is the best way to handle bend or turns in slurry piping systems?
my qualification is b.tech- industrial biotech. i was read about many chemical engineering subject as a allied like unit operation, chemical thermodynamics, chemical reaction engineering , mass transfer and separation, downstream processing and principle of chemical engineering. and i have 2 yrs working exprience on in the field of instrumentation and control... and my query is "can i able work as process technologist" and which subject i want conc. more?........
What type of pump may be appropriate for a liquid near saturation, a low flow rate, and very limited npsha (net positive suction head available)?
Is there a rule of thumb to estimate the footprint of a cooling tower during design phase?
marketing procedure of iocl
Explain what is the best way to configure a bypass line in slurry services?
What are the methods involved to test helium leak testing in a vacuum system?
I would like to know how to size a partial combustion reactor processing methane and oxygen, as a function of the flowrate and of the pressure.
which materials can l use if l want to use length wave 680 to 900 in hplc
Hi.. Me going to tke test for management trainee(technical) Post I am an chemical engineering student . Can u guide how to prepare for this test.Can u send me test paper pattern..?
Explain what type of flow measurement devices is best for slurries?
Why is post-weld heat treatment (stress relieving) sometimes necessary for welded vessels?
Explain the significance of the angle of repose holds in the chemical industry?
What steps can be taken to avoid stress corrosion cracking (SCC) in steel vessels used for storing anhydrous ammonia?
