QUESTION 13

What is the Net Future Value (Terminal Value) of the following set of cash flows at 10% rate? (Hint: To calculate terminal values, calculate the future value of all cash flows at the end of the project, and add them together, that is, NFV = FV of Cash Inflows FV of Cash Outflows) (Answers are rounded.)

Year		0	1	2	3	4	5	6
Cash Flow		-500	-$1,300	$1,300	-$1,300	$1,300	-$1,300	$1,300