Question
Which one of the following will increase the present value of afinite stream of even cash flows? Assume a positive rate ofreturn. A. Moving every
Which one of the following will increase the present value of afinite stream of even cash flows? Assume a positive rate ofreturn.
A. Moving every cash flow one time period further into thefuture
B. Decreasing the amount of each cash flow
C. Increasing the Time 2 cash flow by $100 and lowering the Time3 cash flow by $100
D. Moving the Time 1 cash inflow to Time 2
E. Increasing the discount rate
Which one of the following will increase the present value of afinite stream of even cash flows? Assume a positive rate ofreturn.
A. Moving every cash flow one time period further into thefuture
B. Decreasing the amount of each cash flow
C. Increasing the Time 2 cash flow by $100 and lowering the Time3 cash flow by $100
D. Moving the Time 1 cash inflow to Time 2
E. Increasing the discount rate
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Market Practice In Financial Modelling
Authors: Tan Chia Chiang
1st Edition
9789814366540
