Assume a cost of money of 15 percent. Compute the net present values of the cash flows

Question:

Assume a cost of money of 15 percent. Compute the net present values of the cash flows in Problem 1. Compare with the results obtained from Problems 1 and 4.

Data from Problem 1

Compute the net present value for each of the following cash flows. Assume a cost of money of 10 percent.

Investment A B C 0 $(1,000) (1,000) (1,000) 1 $100 264 Period 2 3 4 $100 $100 $100 264 264 264 5 $1,100. 264

Data from Problem 4

Assume a cost of money of 5 percent. Compute the net present values of the cash flows in Problem 1.

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