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5. If you invest $5,500, what is your rate of return if you will receive the following cash flows at the end of these years:
5. If you invest $5,500, what is your rate of return if you will receive the following cash flows at the end of these years: Yr. 1 $1,000; Yr. 2 $1,100; Yr. 3 $1,200; Yr. 4 $1,300; Yr. 5 $3,600? 6. What would you be willing to pay (now) for the following yearend cash flows if your required return is 9.25%? Year 1 Year 2 Year 3 Year 4 5,000 4,000 3,000 2,000
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