Question: Havana, Inc., has identified an investment project with the following cash flows. Year Cash Flow 1 $ 1,070 2 1,300 3 1,520 4 2,260 Requirement
| Havana, Inc., has identified an investment project with the following cash flows. |
| Year | Cash Flow | |||
| 1 | $ | 1,070 | ||
| 2 | 1,300 | |||
| 3 | 1,520 | |||
| 4 | 2,260 | |||
| Requirement 1: |
| If the discount rate is 8 percent, what is the future value of these cash flows in Year 4? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) |
| Future value | $ |
| Requirement 2: |
| What is the future value at an interest rate of 11 percent? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) |
| Future value | $ |
| Requirement 3: |
| What is the future value at an interest rate of 24 percent? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).) |
| Future value | $ |
Step by Step Solution
There are 3 Steps involved in it
Get step-by-step solutions from verified subject matter experts
