Question
Would you pay $15,000 to get these future cash flows if the required rate is 8%: Year Cash Flow 1 1,000 2 3,000 3 2,000
Would you pay $15,000 to get these future cash flows if the required rate is 8%: Year Cash Flow 1 1,000 2 3,000 3 2,000 4 4,000 5 5,000
| A. | No, $15,000 would not be an investment that would add value | |
| B. | Would need more information | |
| C. | Yes, I would be willing to pay $15,000 in order to get this cash flow | |
| D. | Yes, the sum of cash flows equal the investment. |
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Personal Financial Planning
Authors: Lawrence J. Gitman, Michael D. Joehnk, Randy Billingsley
12th Edition
1439044473, 978-1439044476
