Question
You have just purchased an investment that generates the following cash flows for the next four years. You are able to reinvest these cash flows
You have just purchased an investment that generates the following cash flows for the next four years. You are able to reinvest these cash flows at 9.7 percent, compounded annually.
End of year
1.$554
2.$2,133
3.$790
4.$374
What is the present value of this investment if 9.7 percent per year is the appropriate discount rate?
Round the answer to two decimal places.
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Small Business Management Launching and Growing New Ventures
Authors: Justin Longenecker, Leo Donlevy, Terri Champion, William Petty, Leslie Palich, Frank Hoy
6th Canadian edition
176532218, 978-0176532215
