Question: Given the following cash flows, what is the present value if the discount rate is 6%? Year 1 2 3 Cash Flow $400 $650 $900

Given the following cash flows, what is the present value if the discount rate is 6%?

Year

1

2

3

Cash Flow

$400

$650

$900

a.

$2,053.46

b.

$1,914.78

c.

$1,876.24

d.

$1,711.51

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!