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Example 5 . 6 : ( PV , MULTIPLE CASH FLOWS ) You are considering an investment that will pay you $ 1 , 0
Example : PV MULTIPLE CASH FLOWS
You are considering an investment that will pay you $ in one year, $ in two years and $ in
three years. If you want to earn on your money,
how much would you be willing to pay for this investment? ie find present value of these cash flows
Willing to pay present
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