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  3. a) how much must be deposited today in an account

A) How much must be deposited today in an account earning 4% interest so that...

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Accounting

A) How much must be deposited today in an account earning 4% interest so that in 5 years, the investment is worth $175,000?
b) Jones Company needs to acquire a machine that can be purchased today for $100,000. The machine has a useful life of 8 years and zero salvage value. Alternatively, Jones can lease the machine for 8 years for an annual payment of $14,800, payable at the end of each yearJones' market rate of interest is 5%Assuming that Jones wants to minimize the present value of the cost of the machine, should Jones purchase or lease the machine?
What is the present value of purchasing the machine? $
What is the present value of leasing the machine ? $
to minimize the cost of the machine , should Jones purchase or lease ?

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