a. What is the present value of the following set of cash flows, discounted at 10.8 % per year?
We need to apply the same formula for each of the cash flows for given discount rate.
a)
PV = 7.22 + 15.48 + 22.05 + 27.20 + 31.14
PV = $103.09
b)
PV = $46.93 + $33.40 + $22.05 + $12.61 + $4.79
PV = $119.78
c)
Correct option is Option d
a. What is the present value of the following set of cash flows, discounted at 10.8...
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