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this is a whole question, please answer all questions. Thankyou series of cash flows may not always necessarily be an annuity. Cash flows can also

image text in transcribedimage text in transcribedthis is a whole question, please answer all questions. Thankyou

series of cash flows may not always necessarily be an annuity. Cash flows can also be uneven and variable in amount, but the concept of the time value of money applies to uneven cash flows as well. Consider the following case: A Anky Beverage Co. expects the following cash flows from its manufacturing plant in Palau over the next three years: Annual Cash Flows Year 1 Year 2 Year 3 $400,000 $37,500 $480,000 CFO of the company believes that an appropriate annual interest rate on this investment is 6.5%, what is the present value of this uneven cash flow stream, rounded to the nearest whole dollar? The $2,492,500 O $806,017 O $1,975,000 O $917,50

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