Question
I buy an investment for 100,000 $ which is expected to give me at the end of year 1 a cash flow of 5,000 $
I buy an investment for 100,000 $ which is expected to give me at the end of year 1 a cash flow of 5,000 $ that will grow forever at a constant rate of 2.5%. If the interest rate is 6%, what is the NPV?
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Finance For Growing Enterprises
Authors: Edward W. Davis, Roger Buckland
1st Edition
1138679941, 978-1138679948
