Question
The cash flow for ABC Pty. Ltd. Is as follows: Year Cash Flow Year cash flow 1 30 000 2 40 000 3 -60 000
The cash flow for ABC Pty. Ltd. Is as follows: Year Cash Flow
| Year | cash flow |
| 1 | 30 000 |
| 2 | 40 000 |
| 3 | -60 000 |
| 4 | 70 000 |
The cost of borrowing is 10% while cash inflows carry an interest rate of 12%. i. Calculate the present value of cash outflows. (1 mark) ii. Calculate the future value of all positive cash flows. (2 marks)
Step by Step Solution
There are 3 Steps involved in it
Step: 1
Get Instant Access to Expert-Tailored Solutions
See step-by-step solutions with expert insights and AI powered tools for academic success
Step: 2
Step: 3
Ace Your Homework with AI
Get the answers you need in no time with our AI-driven, step-by-step assistance
Get Started
GLP Quality Audit Manual
Authors: Milton A. Anderson
3rd Edition
0367398435, 978-0367398439
