QUESTION 11 You are given the following cash flow stream and you are asked to use the present value formula to figure out the present value of this cash flow stream. Suppose the interest rate is 4%. Which of the following is the correct formula to be used to calculate the present value? Please notice that this question tests your conceptual understanding of the formula. You don't need to calculate a number Years: 0 1 2 3 + + $3,000 + $4,500 CFS: $0 $1,500 + . PV = $1500 + $ 3000+ $4500 . PV= $1500+ 3000 $4500 (1+0.04) (1+0.04) . PV = 1500 X (1+0.04) + 3000 x (1 +0.04)2 + 4500 x (1 +0.04) OD PV- (1+0.04) (1 +0.04)2 (1+0.04) 1500 3000 4500 +