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Use the following information for the next two questions. Annual cash inflows that will arise from two competing investment projects are given below: Investment Year
Use the following information for the next two questions. Annual cash inflows that will arise from two competing investment projects are given below: Investment Year $4,000 $8,000 $12,000 4 $16,000 Total $40,000 3 $16,000 $12,000 $8,000 $4,000 $40,000 Each investment project will require the same investment outlay. The discount rate is 16% Compute the present value of the cash inflows for Investment A. (Round to nearest dollar) Question 12 Compute the present value of the cash inflows for Investment B. (Round to nearest dollar) You have deposited $15,336 in a special account that has a guaranteed interest rate. If you withdraw $3,200 at the end of each year for 6 years, you will completely exhaust the balance in the account. The guaranteed interest rate is (rounded to 2 decimal places)
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