Question: Rounded up to the nearest dollar, compute the expected present value of the following possible cash flows occurring at the end of year 1 while
Rounded up to the nearest dollar, compute the expected present value of the following possible cash flows occurring at the end of year 1 while considering a 10% annual interest rate:
| Cash Flow Outcome | Probability |
| $20,000 | 0.60 |
| $30,000 | 0.40 |
| a. $(20,843) | ||
| b. $(21,818) | ||
| c. $(21,976) | ||
| d. $(23,560) |
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