Question
Present value at year 3 is ? 35,190 by using CE Approach. CE Factor is 0.75. Risk free rate is 7%. Cost of capital is
Present value at year 3 is ? 35,190 by using CE Approach. CE Factor is 0.75. Risk free rate is 7%. Cost of capital is 11%. What is the cash flow of year 3?
(A) $ 57,500
(B) $ 55,500
(C) $ 52,500
(D) $ 56,500
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Intermediate Financial Management
Authors: Eugene F. Brigham, Phillip R. Daves
12th edition
1285850033, 978-1305480698, 1305480694, 978-0357688236, 978-1285850030
