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Problem 6 A major equipment purchase is being considered by Metro...

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Accounting

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Problem 6 A major equipment purchase is being considered by Metro Atlanta. The initial cost is determined to be $1,000,000. It is estimated that this new equipment will save $100,000 the first year and increase gradually by $50,000 for the next 6 years. Annual interest rate =10%. Please calculate the Future Worth. Problem 7 Pool costs $1.2M to build \& $200K/ year to operate. Benefit is $450K/ ycar. Using equivalent annual values at i=6%&n25 years, what is B/C ratio

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