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The appropriate discount rate for the following cash flows is 7 percent compounded quarterly. Year Cash Flow 1 $800 2 800 3 0 4 1,100

The appropriate discount rate for the following cash flows is 7 percent compounded quarterly.

Year Cash Flow
1 $800
2 800
3 0
4 1,100
What is the present value of the cash flows?

Multiple Choice

  • $2,275.86

  • $2,230.35

  • $873.80

  • $2,321.38

  • $2,285.60

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