Mathematics for FinanceMTP Dec 22Question 1572 of 422
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A machine can be purchased for $50,000$. Machine will contribute $12,000$ per year for the next five years. Assume borrowing cost is $10\%$ per annum. Determine whether machine should be purchased or not? $P(5,0.10) = 3.79079$

Options

AShould be purchased
BShould not be purchased
CCan't say about purchase
DNone of the above
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Correct Answer

Option aShould be purchased

All Options:

  • AShould be purchased
  • BShould not be purchased
  • CCan't say about purchase
  • DNone of the above

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