Question: ) You are given the following time line with attached cash flows. What is the value of the cash flow stream today, if the discount

) You are given the following time line with attached cash flows. What is the value of the cash flow stream today, if the discount rate is 16 percent? (Rounding error in cents is OK).

Years 0 1 2 3 4 5 6

CF's +500 +500 +500 +2000 +2000 +2000

A.

$4001

B.

$4924

C.

$5849

D.

$6875

E.

$7500

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