Answered step by step
Verified Expert Solution
Question
1 Approved Answer
Problem 7: If the cash flows listed below were deposited at 4.1% interest, what would the present value be? Problem 8: Find the future value
Problem 7: If the cash flows listed below were deposited at 4.1% interest, what would the present value be? Problem 8: Find the future value of the same stream of cash flows, assuming that the firm's opportunity cost is 5.5%. Cash Flows NPER 5 Year Amount NPER 5 1/Y (Rate) 4.10% 1 1/Y (Rate) 5.50% $105,479.16 PV ? 2 PV PMT 3 22,500 23,295 23,750 24,505 25,000 PMT 0 FV 4 FV ? 5 Compounding Periods CPT (Compute) ? Compounding Periods CPT (Compute) ? $105,479.16 -$137,857.04
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started