An investment promises the following payments: March 3 $1000; March 18 $2000; March 26 $3000. If the market interest rate is 5.16%, what is this investment value on March 28? _____(5)_______.What is this investment value on March 18? ______(6)_______. If you believe your required return for this investment should be 8.19%, how much are you willing to pay for this investment on March 1?

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To calculate the present value of future cash flows we can use the formula for the present value of ... View the full answer