3. Consider an EOY geometric gradient, which lasts for eight years, whose initial value at EOY one is $5,000 and f= 6% per year thereafter. Find the equivalent uniform gradient amount over the same period if the initial value of the cash flows at the end of year one is $4,000. Complete the following questions to determine the value of the gradient amount, G. The interest rate is 8% per year.
3. Consider an EOY geometric gradient, which lasts for eight years, whose initial value at EOY one is $5,000 and f= 6% per year thereafter. Find the equivalent uniform gradient amount over the same period if the initial value of the cash flows at the end of year one is $4,000. Complete the following questions to determine the value of the gradient amount, G. The interest rate is 8% per year.
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
Section: Chapter Questions
Problem 1PS
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Provide only the cash flow diagram of this problem. I ONLY NEED THE CASH FLOW DIAGRAM. Please read this instruction with comprehension, and stop giving the solution/solving process, stop wasting the count number of my ask a question! READ WITH COMPREHENSION!!! It’s been 5 times since I asked this problem and yet all of those 5 keeps giving me the solution when I clearly said I only need the CASH FLOW DIAGRAM! Please comprehension! Thank you. Again, I ONLY NEED THE CASH FLOW DIAGRAM.
Transcribed Image Text:3. Consider an EOY geometric gradient, which lasts
for eight years, whose initial value at EOY one is
$5,000 and f= 6% per year thereafter. Find the
equivalent uniform gradient amount over the same
period if the initial value of the cash flows at the
end of year one is $4,000. Complete the following
questions to determine the value of the gradient
amount, G. The interest rate is 8% per year.
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