Question: 1. Present Value and Multiple Cash Flows (LO1) Buena Vista Co. has identified an investment project with the following cash flows. If the discount rate


1. Present Value and Multiple Cash Flows (LO1) Buena Vista Co. has identified an investment project with the following cash flows. If the discount rate is 10%, what is the present value of these cash flows? What is the present value at 18% ? At 24% ? Calculating Perpetuity Values (LO1) The Sutherland Life Insurance Co. is trying to sell you an investment policy that will pay you and your heirs $30,000 per year forever. If the required return on this investment is 5.8%, how much will you pay for the policy? 5. Calculating Annuity Cash Flows (LO1) If you put up $45,000 today in exchange for a 6.25%15-year annuity, what will the annual cash flow be
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