Question 3 (35 points)

Consider the series of cash flow given below.

CCC 0 1 2 3 4 ..........N.

Please assign specific numbers for C and N, depending on your choice under the following restrictions: C cannot be 100 or 1000; and N cannot be smaller than 8. Please also select a discount rate, which should be different than 10%. Calculate the present value of this series of cash flow. (The use of the same input data by different students will be treated as a cheat attempt and will be punished severely).