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unequal cash flows

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How do unequal cash flows affect the future value of an investment?

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The expert determines how unequal cash flows affect future values of an investment.

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UNEQUAL CASH FLOWS AND FUTURE VALUE OF AN INVESTMENT

An investment is valued by estimating the future cash flows and discounting them to the present using a certain discount rate or required rate of return. The discount rate may be the cut-off rate set by the investor as based on the cost of borrowing or the cost of capital.
With the use of a forecast of future events that may affect an investment, ...

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