Consider four investments with the sequences of cash flows given in Table P7.8. (a) Identify all the
Question:
Consider four investments with the sequences of cash flows given in Table P7.8.
(a) Identify all the simple investments.
(b) Identify all the nonsimple Investments.
(c) Compute i for each investment.
Transcribed Image Text:
TABLE P7.8 n 0 1 23 Net Cash Flow Project A Project B -$32,000 - $38,000 30,000 32,000 Project C Project D $45,000-$46,300 -18,000 20,000 32,000 -18,000 10,000 -22,000 -18,000 2,500 6,459 78,345
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