Question
The present value (t = 0) of the following cash flow stream is $5,979.04 when discounted at 12% annually. What is the value of the
The present value (t = 0) of the following cash flow stream is $5,979.04 when discounted at 12% annually. What is the value of the MISSING (t = 2) cash flow?[$3,000.00 rounded off]
01234
---|---------|----------|----------|----------|-----
$0$1,000$?$2,000$2,000
can you show how you solved this using a formula?
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
Financial Markets and Institutions
Authors: Jeff Madura
11th Edition
1133947875, 9781305143005, 1305143000, 978-1133947875
