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Time Value of Money

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You are considering a project with the following cash flows:
Year Cash flow
1 5600
2 9000
3 2000

5. What is the present value of these cash flows, given an 11% discount rate?
$8,695.61
$8,700.89
$13,732.41
$13,812.03
$19,928.16

6. What is the future value of the following cash flows at the end of year 3 if the interest rate is 7.25%? The cash flows occur at the end of each year.

Year Cash flow
1 6800
2 2100
3 0

$8,758.04
$8,806.39
$10,073.99
$10,314.00
$10,804.36

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Solution Summary

Calculates Present Value of Cash flow, Future Value of Cash flow

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5. You are considering a project with the following cash flows:
Year Cash flow
1 5600
2 9000
3 2000

What is the present value of these cash flows, given an 11% discount rate?
      

$8,695.61 ...

Purchase this Solution


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