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Check my work Your consulting firm will produce cash flows of $120,000 this year, and you expect cash flow to keep pace with any increase
Check my work Your consulting firm will produce cash flows of $120,000 this year, and you expect cash flow to keep pace with any increase in the general level of prices. The interest rate currently is 6.4%, and you anticipate inflation of about 2.4%. 10 points a. What is the present value of your firm's cash flows for years 1 through 4? (Do not round intermediate calculations. Round your answer to 2 decimal places.) Skipped Present value eBook Print b. How would your answer to (a) change if you anticipated no growth in cash flow? (Do not round intermediate calculations. Round your answer to 2 decimal places.) References Present value
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