Suppose That a Printing Firm Considers the Production of Its

question 303

Multiple Choice

Suppose that a printing firm considers the production of its presses as a continuous income stream. If the annual rate of flow at time t is given by in thousands of dollars per year, and if money is worth 7% compounded continuously, find the present value and future value of the presses over the next 10 years. Round your answer to the nearest dollar. ​

• A) Present Value: $212,562; Future Value: $428,047
• B) Present Value: $181,071; Future Value: $364,632
• C) Present Value: $119,242; Future Value: $240,124
• D) Present Value: $193,878; Future Value: $390,422
• E) Present Value: $127,833; Future Value: $257,424

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Definitions:

Superior Vena Cava

A major vein carrying deoxygenated blood from the upper half of the body to the heart's right atrium.

Thorax

The part of the body located between the neck and the abdomen, enclosing the chest and containing the heart and lungs; it is protected by the rib cage.

Velocity

A vector quantity that denotes the rate of change of position of an object, with both magnitude and direction.

Blood Flow

Blood flow is the circulation of blood through the cardiovascular system, delivering oxygen and nutrients to tissues and removing carbon dioxide and wastes.