An investment that costs $6,000 will produce annual cash flows of $2.600 for a period of 4 years. Given a desired rate of return of 10%, what is the present value index? (PV of 51 and PVA of $1) Note: Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Round your answer to three decimal points. Multiple Choice O O O 1374 2.677 0728 2.300

FINANCIAL ACCOUNTING
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ISBN:9781259964947
Author:Libby
Publisher:Libby
Chapter1: Financial Statements And Business Decisions
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An investment that costs $6.000 will produce annual cash flows of $2,600 for a period of 4 years. Given a desired rate of return of 10%, what is the present value
Index? (PV of 51 and PVA of $1)
Note: Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Round your answer to three decimal points.
Multiple Choice
O
O
1374
0728
2.308
Transcribed Image Text:An investment that costs $6.000 will produce annual cash flows of $2,600 for a period of 4 years. Given a desired rate of return of 10%, what is the present value Index? (PV of 51 and PVA of $1) Note: Use appropriate factor(s) from the tables provided. Do not round intermediate calculations. Round your answer to three decimal points. Multiple Choice O O 1374 0728 2.308
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