What is the present value of the following set of cash flows, discounted at 9.2% per...
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What is the present value of the following set of cash flows, discounted at 9.2% per year? Year CF 1 $12 b. What is the present value of the following set of cash flows, discounted at 9.2% per year? Year 1 $48 2 $39 CF c. Each set contains the same cash flows ($12, $21, $30, $39, $48), so why is the present value different? 2 $21 a. What is the present value of the following set of cash flows, discounted at 9.2% per year? 1 $12 2 $21 Year CF The present value of the cash flow stream is $. (Round to the nearest cent.) b. What is the present value of the following set of cash flows, discounted at 9.2% per year? Year CF 1 $48 2 $39 CIB OA. The present value in part (b) is higher because the larger cash flows occur sooner. OB. The present value in part (a) is lower because the larger cash flows occur sooner. OC. The present value in part (a) is higher because the larger cash flows occur sooner. OD. The present value in part (b) is lower because the larger cash flows occur sooner. 3 $30 3 $30 3 $30 3 $30 (Round to the nearest cent.) The present value of the cash flow stream is c. Each set contains the same cash flows ($12, $21, $30, $39, $48), so why is the present value different? (Select the best choice below.) $39 $21 4 $39 4 $21 + 5 $48 5 $12 5 $48 5 $12 What is the present value of the following set of cash flows, discounted at 9.2% per year? Year CF 1 $12 b. What is the present value of the following set of cash flows, discounted at 9.2% per year? Year 1 $48 2 $39 CF c. Each set contains the same cash flows ($12, $21, $30, $39, $48), so why is the present value different? 2 $21 a. What is the present value of the following set of cash flows, discounted at 9.2% per year? 1 $12 2 $21 Year CF The present value of the cash flow stream is $. (Round to the nearest cent.) b. What is the present value of the following set of cash flows, discounted at 9.2% per year? Year CF 1 $48 2 $39 CIB OA. The present value in part (b) is higher because the larger cash flows occur sooner. OB. The present value in part (a) is lower because the larger cash flows occur sooner. OC. The present value in part (a) is higher because the larger cash flows occur sooner. OD. The present value in part (b) is lower because the larger cash flows occur sooner. 3 $30 3 $30 3 $30 3 $30 (Round to the nearest cent.) The present value of the cash flow stream is c. Each set contains the same cash flows ($12, $21, $30, $39, $48), so why is the present value different? (Select the best choice below.) $39 $21 4 $39 4 $21 + 5 $48 5 $12 5 $48 5 $12
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a To calculate the present value of the cash flows in the first set discounted at 92 per year we can ... View the full answer
Related Book For
Fundamentals Of Corporate Finance
ISBN: 9780133507676
3rd Edition
Authors: Jonathan Berk, Peter DeMarzo, Jarrad Harford
Posted Date:
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