9.16. Jones Inc. is considering a prospective project with the following future cash inflows: $9,000 at the

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9.16. Jones Inc. is considering a prospective project with the following future cash inflows: $9,000 at the end of year 1, $9,500 at the end of 15 months, $10,500 at the end of 30 months, and $11,500 at the end of 38 months.

a. What is the PV of these cash flows at 7.5 percent compounded annually?

b. How does the PV change if the discount rate is 7.5 percent compounded semiannually?

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Financial Markets And Corporate Strategy

ISBN: 9780071157612

2nd Edition

Authors: Mark Grinblatt, Sheridan Titman

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Question Posted: Jul 23, 2024 08:02 AM

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9.16. Jones Inc. is considering a prospective project with the following future cash inflows: $9,000 at the

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Financial Markets And Corporate Strategy

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