Answer:
The airport should invest a uniform amount of [tex]A=[/tex]$357,958.55
Explanation:
Hi
First of all, we need to know how much will cost the land in five years so we have, [tex]F=2000000*(1+0.05)=2100000[/tex], that means that the future value of the land will be $2'100,000.
Now we can use [tex]A=\frac{F}{\frac{(1+i)^{n} -1}{i} }[/tex] with [tex]F=2100000, n=5[/tex] and [tex]i=8[/tex]%, so we have [tex]A=\frac{2100000}{\frac{(1+008)^{5} -1}{0.08} }=357958.55[/tex]
