Acme Bricks, a masonry products company, wants to have $600000 on hand bef invests in new conveyors, trucks, and other equipment. If the company sets asid per year in an account that increases in value at a rate of 15% per year, how mar it be before Acme can purchase the equipment? 4.5 years B 5.6 years 6.5 years 5.4 years

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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18. Acme Bricks, a masonry products company, wants to have $600000 on hand before it
invests in new conveyors, trucks, and other equipment. If the company sets aside $80000
per year in an account that increases in value at a rate of 15% per year, how many years will
it be before Acme can purchase the equipment?
A
4.5 years
B
5.6 years
C
6.5 years
D
5.4 years
Transcribed Image Text:18. Acme Bricks, a masonry products company, wants to have $600000 on hand before it invests in new conveyors, trucks, and other equipment. If the company sets aside $80000 per year in an account that increases in value at a rate of 15% per year, how many years will it be before Acme can purchase the equipment? A 4.5 years B 5.6 years C 6.5 years D 5.4 years
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