Question: please explain by steps. don't use Excel functions please Question 12.01 An investor pays 100,000 for a 5-year investment that produces cash flows of 70,000

please explain by steps. don't use Excel functions please

Question 12.01 An investor pays 100,000 for a 5-year investment that produces cash flows of 70,000 at the end of 3 years and at the end of 4 years. The cash flows are reinvested at an annual effective rate of interest of 3%. Using an annual effective interest rate of 7%, calculate the net present value of the 5-year investment. B 4,355 C 4,636 D 4,917 E 5,198

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