Question: The table below contains cash flows for five mixed streams (i.e., unequal cash flows). YEAR EXAMPLE A- CASH FLOW EXAMPLE B- CASH FLOW EXAMPLE C-

The table below contains cash flows for five mixed streams (i.e., unequal cash flows).

YEAR EXAMPLE A- CASH FLOW EXAMPLE B- CASH FLOW EXAMPLE C- CASH FLOW EXAMPLE D- CASH FLOW EXAMPLE E- CASH FLOW
1 40,000 20,000 -2,000 10,000 10,000
2 30,000 30,000 3,000 5,000 8,000
3 20,000 40,000 4,000 5,000 8,000
4 10,000 -50,000 6,000 5,000 8,000
5 5,000 5,000 8,000
6 5,000 8,000
7 7,000 8,000
8 9,000

For each of the five mixed streams, calculate the present value three times once using each of the following interest rates:

Rate #1 5% per year, compounded annually

Rate #2 7% per year, compounded annually

Rate #3 10% per year, compounded annually

NOTE that the cash flows are annual and the compounding is also annual.

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