Consider the following three cash flow series: End of Year Cash Flow Series A Cash Flow Series B Cash Flow Series C 0 1 2 3 4 5 -$1,000 X 1.5X 2.0X 2.5X 3.0X -$2,360 $3,460 $2,860 $2,260 $1,660 $1,060 963.39 Y Y Y 2Y 2Y 2Y Determine the values of X and Y so that all three cash flows are equivalent at an interest rate of 15% per year compounded yearly. X: $ 1099.17 Y: $

ENGR.ECONOMIC ANALYSIS
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Chapter1: Making Economics Decisions
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Consider the following three cash flow series:
End of Year Cash Flow Series A Cash Flow Series B Cash Flow Series C
0
1
2
3
4
5
-$1,000
X
1.5X
2.0X
2.5X
3.0X
-$2,360
$3,460
$2,860
$2,260
$1,660
$1,060
963.39
Y
Y
Y
2Y
2Y
2Y
Determine the values of X and Y so that all three cash flows are equivalent at an interest rate of 15% per year compounded yearly.
X: $
1099.17
Y: $
Transcribed Image Text:Consider the following three cash flow series: End of Year Cash Flow Series A Cash Flow Series B Cash Flow Series C 0 1 2 3 4 5 -$1,000 X 1.5X 2.0X 2.5X 3.0X -$2,360 $3,460 $2,860 $2,260 $1,660 $1,060 963.39 Y Y Y 2Y 2Y 2Y Determine the values of X and Y so that all three cash flows are equivalent at an interest rate of 15% per year compounded yearly. X: $ 1099.17 Y: $
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