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QUESTION 5 A company expects to generate $10 in cash flow in one year and for this cash flow to grow afterwards at a rate
QUESTION 5 A company expects to generate $10 in cash flow in one year and for this cash flow to grow afterwards at a rate of 4% APR with annual compounding Investors in this company expect to eam a rate of return of 8% APR with annual compounding. What is the value foday of these cash flows? Your final answer must be rounded to the nearest dollar, only numeric, and without the dollar sign. Rounding example 5: S1.49 would be rounded to SI and $1.50 would be rounded to S2
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