Logo
Home Study Material Contact Search
AI Chat FREE
  1. business
  2. finance
  3. john keene recently invested $2,250 in a project t

John Keene recently invested $2,250 in a project that is promising to return 10 percent...

80.2K

Verified Solution

Question

Finance

John Keene recently invested $2,250 in a project that is promising to return 10 percent per year. The cash flows are expected to be as follows:

Year End of Year Cash Flow

1 $597

2 $512

3 $566

4 $??

5 $565

Note that the cash flow in year 4 is missing. Determine the Year 4 missing cash flow that will make the present value of this series equal to the amount John invested (that is, CFO = -2250)?

Answer & Explanation Solved by verified expert
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!
Become a Member

Other questions asked by students