Finding the value of missing cash flow
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The present value of the following cash flow stream is $5,744 when discounted at 12 percent annually. The value of the missing cash flow is $______ ?
YEAR CASH FLOW
1 $1,250
2 ?
3 1,750
4 2,500
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Solution depicts the steps to find the value of missing cash flow.
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Cash Flow at the end of year 1=CF1=$1250
Cash Flow at the end of year 2=CF2= x
Cash Flow at the ...
Education
- BEng (Hons) , Birla Institute of Technology and Science, India
- MSc (Hons) , Birla Institute of Technology and Science, India
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