Engineering Economy 7th Edition by Leland Blank ,Anthony Tarquin

Exercise 29

By filling carbon nanotubes with miniscule wires made of iron and iron carbide, incredibly thin nanowires can be extruded by blasting the carbon nanotubes with an electron beam. If Gentech Technologies plans to spend $1.7 million in year 1, $2.1 million in year 2, and $3.4 million in year 3 to develop the technology, determine the present worth of the investments in year 0, if the interest rate in year 1 is 10% and in years 2 and 3 it is 12% per year.