TheTerraMaxtruck currently being manufactured and field tested by Oshkosh Truck Co. is a driver- less truck intended for military use. Such a truck would free personnel for non-driving tasks such as reading maps, scanning for roadside bombs, or scouting for the enemy. If such trucks would result in reduced injuries to military personnel amount- ing to $15 million three years from now, determine the present worth of these benefits at an interest rate of 10% per year compounded semiannually.

Present value of the benefits = $6,240,000

Explanation:

Annual interest Rate given = 10%

Semi-annual Interest Rate = 10%/2 = 5%

Df @ 5% for 6 semi-annuals : (1+r/2) ^-m * n

     = (1+ 0.05)^- 18

     = 0.416

Present Value of the benefits= 0.416 x $15,000,000

                                                = $6,240,000

Hence, the present value of the benefits of this saving is $6,240,000.

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the answer is     d. in our global economy, most job growth will be in services, but manufacturing jobs will exist, too.