Posted by **Will** on Tuesday, November 30, 2010 at 1:39am.

The machine earns the company revenue at a continuous rate of 62000 t + 38000 dollars per year during the first six months of operation, and at the continuous rate of $69000 per year after the first six months. The cost of the machine is $170000. The interest rate is 5% per year, compounded continuously.

a) Find the present value of the revenue earned by the machine during the first year of operation. Round your answer to the nearest cent.

b) Determine how long it will take for the machine to pay for itself; that is, how long until the present value of the revenue is equal to the cost of the machine. Round your answer to the nearest hundredth.

## Answer this Question

## Related Questions

- Calculus - A machine earns the company revenue at a continuous rate of 62000 t...
- Calculus - using the following information in place of that in the book. The ...
- Calculus - Suppose that the machinery in question costs $104000 and earns profit...
- calculus - The proprietor of Carson Hardware Store has decided to set up a ...
- MATH - The value V of a machine t years after it is purchased is inversely ...
- maths - The population of a country is 10 million in 1997 and increasing at a ...
- calculus - Suppose that the sales at Borders bookstores went from 70 million ...
- Maths---integral - the time index t runs from a to A. if an investment produced ...
- maths---integral - the time index t runs from a to A. if an investment produced...
- math - Universal Exporting has three warehouse employees: John Abner earns $422 ...