i need help with Engineering economy question:
(a) CAM Precision Sdn. Bhd. is an advanced manufacturing company listed in Top 100
hi-tech global ranking. This company shows a potential investment with interest
return rate of 8% per year. Your family plan to invest RM168000.
Apply the simple interest and compound interest approach to calculate the total
investment after FOUR (4) years. Assume that your family do not withdraw the
money earned at the end of each year, but instead let it accumulate. (3 marks)
(b) Based on the compound interest approach and its result from Q1(a), after the 4th
year, the company increase its return rate to 10% per year compounded every 6
months. Apply the effective interest rate per year to determine the total investment at
the end of EIGHT(8) years. (3 marks)
