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Category > Business & Finance Posted 05 Aug 2017 My Price 12.00

1) Two methods of carrying away surface runoff

1) Two methods of carrying away surface runoff water from a new subdivision are being evaluated.

Method A.

Dig a ditch. The first cost would be $60,000, and $25,000 redigging and shaping would be required at five-year intervals forever.

 

Method B.

Lay concrete pipe. The first cost would be $150,000, and a replacement would be required at 50-year intervals at net cost of $180,000 for ever.

At i=12%, which method is the better one?

 

2) Suppose that you invest $50,000 in a restaurant business. One year later, you sell half of this business to a partner for $100,000. Then a year later, the business is in the red, and you have to pay $40,000 to close the business. What is the rate of return on your investment from this restaurant business?

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Status NEW Posted 05 Aug 2017 06:08 PM My Price 12.00

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