Question
Bob owns an investment that is expected to make annual cash flows forever the expected return for the investment is 9.7%. the next annual cash
Bob owns an investment that is expected to make annual cash flows forever the expected return for the investment is 9.7%. the next annual cash flow is expected in one year from today and all subsequent cash flows are expected to grow annually by 1.3%. What is the value of the investment if Bob knows that the cash flow in 3 years from today is expected to be $18.000?
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Focus On Personal Finance
Authors: Jack Kapoor, Les Dlabay, Robert Hughes, Melissa Hart
6th Edition
125991965X, 978-1259919657
