A potential investment has promised the following cash flows. Assuming that the appropriate discount rate...
60.1K
Verified Solution
Link Copied!
Question
Finance
A potential investment has promised the following cash flows. Assuming that the appropriate discount rate is 12%, what is the present value (PV) of these cash flows?
| Today, time 0 | $0 |
|---|---|
| 1 yr from today | $5,000 |
| 2 yrs from today | $15,000 |
| 3 yrs from today | $45,000 |
| 4 yrs from today | $5,000 |
$62,500
$55,540
$51,630 $47,725
Get Answers to Unlimited Questions
Join us to gain access to millions of questions and expert answers. Enjoy exclusive benefits tailored just for you!
Membership Benefits:
- Unlimited Question Access with detailed Answers
- Zin AI - 3 Million Words
- 10 Dall-E 3 Images
- 20 Plot Generations
- Conversation with Dialogue Memory
- No Ads, Ever!
- Access to Our Best AI Platform: Flex AI - Your personal assistant for all your inquiries!
Other questions asked by students
StudyZin's Question Purchase
1 Answer
$0.99
(Save $1 )
One time Pay
- No Ads
- Answer to 1 Question
- Get free Zin AI - 50 Thousand Words per Month
Best
Unlimited
$4.99*
(Save $5 )
Billed Monthly
- No Ads
- Answers to Unlimited Questions
- Get free Zin AI - 3 Million Words per Month
*First month only
Free
$0
- Get this answer for free!
- Sign up now to unlock the answer instantly
You can see the logs in the Dashboard.