Solve using math formulas and show explanation. If the appropriate discount rate for the following...
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Accounting
Solve using math formulas and show explanation. If the appropriate discount rate for the following cash flows is 9.75% per year, what is the present value of the cash flows? What is the value of all the cash flows at year 2?
| Year | Cash Flow |
| 1 | $2,800 |
| 2 | 0 |
| 3 | 8,100 |
| 4 | 1,940 |
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