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Consider the following time line of cash flows Time 0 1 2 3 CF -70 40 30 20 If the discount rate is 5% per
Consider the following time line of cash flows
Time 0 1 2 3 CF -70 40 30 20
If the discount rate is 5% per year which of the following statements is true (to 2 decimal places)
A. Net future value of this stream at end of period 3, NFV3 = 14.57
B. Net present value of this stream at time 0, NPV0 = 12.58
C. All of the answers are true D. The present value CFs 1 3 at time 0, NPV0 = 82.58 E. None of the answers are true
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