What is the total present worth of all of these repair expenses?

A company believes it will spend $4000 on repairs each year for the next six Show more Engineering Economics A company believes it will spend $4000 on repairs each year for the next six years with the first expense occurring one year from today. The company also anticipates that inflation will cause their repair expense to increase by $200 in year 2 and by the same amount again in years 3 4 5 and 6 (or an arithmetic gradient of $200 per year beginning in year 2). What is the total present worth of all of these repair expenses? Use an interest rate of 5%. Show less

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