Question: Consider five annual cash flows (the first occurring one year from today): Year Cash Flow 1 .................................. $5 2 .................................. 6 3 .................................. 7 4

Consider five annual cash flows (the first occurring one year from today):
Year Cash Flow
1 .................................. $5
2 .................................. 6
3 .................................. 7
4 .................................. 8
5 .................................. 9
Given a discount rate of 10%, what is the present value of this stream of cash flows?

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