What is the present value of the following set of cash flows at an interest rate of 8% p.a. compounded annually?   End of Year 1    $1,150 End of Year 2    $2,300 End of Year 3    $5,100   Select one: a. $7,401.20 b. $7,085.23 c. $8,550.00 d. $7,805.23

Essentials Of Investments
11th Edition
ISBN:9781260013924
Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.
Chapter1: Investments: Background And Issues
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What is the present value of the following set of cash flows at an interest rate of 8% p.a. compounded annually?

 

End of Year 1    $1,150

End of Year 2    $2,300

End of Year 3    $5,100


 

Select one:
a.

$7,401.20

b.

$7,085.23

c.

$8,550.00

d.

$7,805.23

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