Engineering Economy 7th Edition by Leland Blank ,Anthony Tarquin

Exercise 10

The expansion plans of Acme Granite, Stone Brick call for the company to add capacity for a new product in 5 years. The company wants to have $360,000 available before it announces the product. If the company sets aside $55,000 now and $90,000 in year 2, what uniform annual amount will it have to put in an account in years 3 through 5 to have the $360,000 Assume the account earns interest at 8% per year.