Consider the settlement of cashflows to be received over the next three years, at the end of
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Question:
Consider the settlement of cashflows to be received over the next three years, at the end of each year:
Year | 1 | 2 | 3 |
Cashflow | $100 | $225 | $300 |
If the discount rate is 10%, how would we write the formula to find the Future Value of this set of cash flows at the end of year 3.
Group of answer choices
$100/(1.10) + $225/(1.10) + $300/(1.10)
$100*(1.10) + $225*(1.10) + $300*(1.10)
$100/(1.10) + $225/(1.10)^2 + $300/(1.10)^3
$100/(1.10)^2 + $225/(1.10) + $300
Related Book For
Financial Accounting and Reporting a Global Perspective
ISBN: 978-1408076866
4th edition
Authors: Michel Lebas, Herve Stolowy, Yuan Ding
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