A yearly maintenance cost of an automobile is as follows
| n |
CF |
| 0 |
|
| 1 |
$160 |
| 2 |
$200 |
3
|
$240 |
| 4 |
$280 |
5
|
$320 |
a) What is the present worth at 10% per year interest? Find A and G and use
P = A(P/A, i%,n) + G(P/G,i%,n)
b) What is the annual equal payment?
A(overall) = A + G(A/G, i%, n) Basics of Engineering Economy