Question
At the end of each year for the next 8 years you will receive cash flows of $500. The initial investment is $2,500. Which of
At the end of each year for the next 8 years you will receive cash flows of $500. The initial investment is $2,500. Which of the following is the correct equation to find the rate of return (r) you are expecting from this investment? A. $2,500 = $500 [1/(1+r)8 1] / r B. $500 = $2,500 [PVIFA(r%,8)] C. $500 = $2,500 [FVIFA(r%,8)] D. $2,500 = $500 [1 1/(1+r)8] / r
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International Finance A Survey
Authors: H. Kent Baker, Leigh A. Riddick
1st Edition
0199754659, 978-0199754656
