present worth method. purchase or rent Purchasedown payment- $15000→Pay monthing $150 1 month from now.Taxes &Insurance Mmonthing->$100Paint cost4Lost & 600 every & afearsUtilities - 135Rentdown payment ->$600->Montly pay $200dtilities →1135IR-> 12%compounded montilly.

Present value mean that money amount today is much more than that same amount in future. In this…

Purchase down payment → $15000 -> Pay morthing. Taxes & Paint cost Utilities - 135 Rent down payment ->$600 montly pay $200 dtiliter 135 150 1 month from now. Insurance monthing -> $100. cost 600 every 4 years - IR-> 12% compounded montilly.

Purchase down payment → $15000 -> Pay morthing. Taxes & Paint cost Utilities - 135 Rent down payment ->$600 montly pay $200 dtiliter 135 150 1 month from now. Insurance monthing -> $100. cost 600 every 4 years - IR-> 12% compounded montilly.

ENGR.ECONOMIC ANALYSIS

14th Edition

ISBN:9780190931919

Author:NEWNAN

Publisher:NEWNAN

Chapter1: Making Economics Decisions

Section: Chapter Questions

Problem 1QTC

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Question

present worth method. purchase or rent

Purchase
down payment
- $15000
→
Pay monthing $150 1 month from now.
Taxes &
Insurance M
monthing
->$100
Paint cost
4
Lost & 600 every & afears
Utilities - 135
Rent
down payment ->$600
->
Montly pay $200
dtilities →1135
IR-> 12%
compounded montilly.

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