A mechanical engineer who recently graduated with a master's degree is contemplating starting his own commercial heating and cooling company. He can purchase a Web page design package aimed at delivering information only for $600 per year. If his business is successful, he will purchase a more elaborate e-commerce package costing $4000 per year. If the engi neer purchases the less expensive page now (beginningof- year payments) and he purchases the
e-commerce package 1 year from now (also beginning-of-year payments), what is the equivalent annual worth of costs for the website for a 5-year period (years 1 through 5) at an interest rate of 12 % per year?