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5) What is the future value at the end of year 13 of an investment that starts at $6,000 and grows by 7% per year
5) What is the future value at the end of year 13 of an investment that starts at $6,000 and grows by 7% per year for 13 years ($6,000 is invested at the end of year 1). The interest rate is 10% annual compounded annually. Answer 6) You anticipate a cash flow of $900 at the end of year 1, $600 at the end of year 2, and $800 at the end of year 4. What is the annual equivalent of the cash flow for years 1 through 4? In other words, what constant value "A" could you receive at the end of years 1-4 such that the two cash series of flows are economically equivalent? The interest rate is 6% annual compounded annually
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