FIN 3715 Chapter : Chapter 4 Fin Test Bank
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Both investments have the same future cash flows. Investment a has a discount rate of 4%, and investment b has a discount rate of. Which of the following is true: the present value of cash flows in investment a is higher than the present value of cash flows in. ,000: investment y has a higher present value, an investment pays you ,000 at the end of this year, and ,000 at the end of each of the four following years. The amount you will have in 50 years is closest to which of the following: ; ,565, fv = 1000(1 + 0. 11)10 = , consider the following timeline detailing a stream of cash flows: which gives and. If the current market rate of interest is 10%, then the present value (pv) of this stream of cash flows is closest to ________.
