Question

Question 5 0 1 pts "What is the Present Value of a $11,000 inflow 5 years from now, a $48,000 inflow 9 years from now, and a $28,000 outflow 7 years from now. Assume an interest rate of 3% for years 1-5, 5% for years 6-7, and 7% for years 8-9. Assume annual compounding. Your answer could be negative." 5300

Answer 1

Present value of the cash flows

=11000/(1+3%)^5+48000/((1+3%)^5*(1+5%)^2*(1+7%)^2)-28000/((1+3%)^5*(1+5%)^2)

=20383.82 or 20384

the above is answer..