Ahmed has recently invested his money and is expecting the following cash flows at the end of each of the next three years, 788, 737 and 742 respectfully. This will be followed with a constant return of 492 from year 4 till 6. Using a discount rate of 5% find the PV of this cash flow.

International Financial Management
14th Edition
ISBN:9780357130698
Author:Madura
Publisher:Madura
Chapter14: Multinational Capital Budgeting
Section: Chapter Questions
Problem 1IEE
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Ahmed has recently invested his money and is expecting the following cash flows at the end of each of the next three years, 788, 737 and 742 respectfully. This will be followed with a constant return of 492 from year 4 till 6. Using a discount rate of 5% find the PV of this cash flow.

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