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What is the level-equivalent income for the following income stream if the discount rate is 10%? Year 1 $300,000 Year 2 $312,000 Year 3 -$20,000
What is the level-equivalent income for the following income stream if the discount rate is 10%?
| Year 1 | $300,000 |
| Year 2 | $312,000 |
| Year 3 | -$20,000 |
| Year 4 | $320,000 |
| Year 5 | $320,000 |
| Year 6 | $320,000 |
Hint: solve for NPV then solve for payment
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Intermediate Financial Management
Authors: Eugene F. Brigham, Phillip R. Daves
13th Edition
1337395080, 9781337395083
