A small scale mining investment is expected to generate $60,000 per year in profits over the next 15 years. If these profits are invested in a mutual fund account that earns a market interest rate of 18% per year,calculate how much the fund will be worth after the 15 years in actual dollars and in real dollars. Inflation is expected to average 6% per year over that period.Click the icon to view the interest and annuity table for discrete compounding when i = 6% per year.Click the icon to view the interest and annuity table for discrete compounding when i = 18% per year.In actual dollars:OA. $2,118,010B. $6,625,790OC. $3,657,920OD. $1,526,320In real dollars:OA. $6,625,790B. $2,118,010OC. $1,526,320OD. $3,657,920

The objective of this question is to calculate the future value of an annuity in actual dollars and…

Answered: A small scale mining investment is…

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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