You are expecting a project to produce the following cash flows for years 1 through 4 respectively: $1,250, $1,303, $1,306, and $1,036. If you want to earn a rate of return of 12 percent on your investment, how much would you be willing to pay for it today?

Answer rating: 100% (QA)

To calculate the present value of the cash flows we need to discount each cash fl... View the full answer