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Consider the following cash flow: Year Cash Flow 0 -$100 1 $50 2 $60 3 $70 4 $80 5 140 If the present value is

Consider the following cash flow:

Year

Cash Flow

0

-$100

1

$50

2

$60

3

$70

4

$80

5

140

If the present value is zero, which one of the following is correct?

A. 100 = 50 + 10(A/G,i,5) + 50(P/F,i,5)

B. 1 = [ 50(P/A,i,5) + 10(P/G,i,5) + 50(P/F,i,5) ] / 100

C. 100(A/P,i,5) = 50 + 10(A/G,i,5)

D. None of the equations are correct.

Please show full work and state the reasons clearly!

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