Question: Question 3 (40 points): Future Value and Present Value of Uneven Cash flows. (spend around 10 minutes on this) You will receive $5000 in 2
Question 3 (40 points): Future Value and Present Value of Uneven Cash flows. (spend around 10 minutes on this) You will receive $5000 in 2 years and $10000 in 10 years from now (at t=2 and t=10). Compute the value of these cash flows at points in time noted below if the interest rate is 8% per year. For each question draw the time line and show your work. a) Value of these two cash flows today at t=0 b) Value of these two cash flows fifteen years from today at t=15
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