1. Beckton Steel Products, a company specializing in crankshaft hardening, is investigating whether to renew the equipment now or wait and do it later. If the cost of 3 years from now estimated at $ 190,000, how much can the company afford to spend if the minimum attractive rate of return (MARR) is 2% per month?
2. Chemdex Partners plans to finance the reclamation project site that will require cleaning time 5 years. If the company borrows $ 2.3 million right now, how much will the company should receive in a lump sum when the project is complete in order to earn 20% per year compounded quarterly investments?
3. Atlas Long-Haul Transport is considering installing Valutemp temperature loggers in all refrigerated trucks for temperature monitoring during transit. If the system will reduce insurance claims of $ 40,000 per year for 5 years, how much should the company be willing to spend if using an interest rate of 12% per year plus three months?
4. Erbitux is the treatment of colorectal cancer drug manufactured by ImClone Systems Inc. Assume the treatment lasts for a period of one year at a cost of $ 10,000 per month and patients live five years longer than he / she will live without treatment. How much will people who have to get every month from 1 month after treatment ends to get the same amount to the total cost of treatment at an interest rate of 12% per year compounded monthly?