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Consider the following cash flows: Year Cash Flow 2 $ 15,000 3 24,000 5 33,000 Assume an interest rate of 6.1 percent per year. a.
| Consider the following cash flows: |
| Year | Cash Flow | |||
| 2 | $ | 15,000 | ||
| 3 | 24,000 | |||
| 5 | 33,000 | |||
| Assume an interest rate of 6.1 percent per year. |
| a. | If today is Year 0, what is the future value of the cash flows five years from now? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
| b. | If today is Year 0, what is the future value of the cash flows ten years from now? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) |
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Financial Management Theory And Practice
Authors: Prasanna Chandra
9th Edition
9339222571, 978-9339222574
