A certain machine will have a cost of 25000 then six years
A certain machine will have a cost of $25,000 (then $) six years from now. Find the PW of the machine if the real interest rate is 10% per year and the inflation rate is 5% per year using
(a) constant-value dollars
(b) then-current dollars.
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a certain machine will have a cost of 25000 then six years from now find the pw of the machine if the real interest
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