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Solved Problems Compute the net present value (NPV) of the following cash flows End of Year Cash Flow, $1000 -6 The interest rate is 15%
Solved Problems Compute the net present value (NPV) of the following cash flows End of Year Cash Flow, $1000 -6 The interest rate is 15% per year, compounded annually. By (8.1) NPv--S6000 + S4000(P/F, 15%, l)+52000(P/F, 15% , 2) -S3000(MF, 15%, 3)-$2000(P/F, 1 5%, 4) + s3000(HF, 15% , 5) =-S6000 + S4000(L 1500)" + S2000(1.3225)-1 -$3000( 1 .5209)"-$2000( 1.7490)" + $3000(2.01 14)-. =-$2633.99
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