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there is no initial amount. Everything that you need is there, you do not need anything else. P5-31 Present value: Mixed streams Consider the mixed
there is no initial amount. Everything that you need is there, you do not need anything else.
P5-31 Present value: Mixed streams Consider the mixed streams of cash flows shown in the following table. Year Cash flow stream B $-50,000 $10,000 40,000 20,000 30,000 30,000 20,000 40,000 10,000 -50,000 $150,000 $150,000 Totals 75% a. Find the present value of each stream using a 8% discount rate. b. Compare the calculated present values and discuss them in light of the undis- counted cash flows totaling $150,000 in each case Step by Step Solution
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