The appropriate discount rate for the following cash flows is an 8 percent APR compounded quarterly. Year Cash Flow 1 $ 930 2 1,010 0 1,600 3 What is the present value of the cash flows? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. Present value

EBK CONTEMPORARY FINANCIAL MANAGEMENT
14th Edition
ISBN:9781337514835
Author:MOYER
Publisher:MOYER
Chapter5: The Time Value Of Money
Section: Chapter Questions
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The appropriate discount rate for the following cash flows is an 8 percent APR compounded quarterly.
Year Cash Flow
1
2
3
$930
1,010
0
1,600
What is the present value of the cash flows?
Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.
Present value
Transcribed Image Text:The appropriate discount rate for the following cash flows is an 8 percent APR compounded quarterly. Year Cash Flow 1 2 3 $930 1,010 0 1,600 What is the present value of the cash flows? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. Present value
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