Consider the following: Year Cash Flow 0 -$8,000 1 $200 2 $400 3 ? 4 $500 $700 LO 5 The required rate of return is 8%. Find the minimum amount you would have to receive as a cash flow in year 3 and still recommend the project. Answer to 2 decimals places. 8,349.32

Consider the following: Year Cash Flow 0 -$8,000 1 $200 2 $400 3 ? 4 $500 $700 LO 5 The required rate of return is 8%. Find the minimum amount you would have to receive as a cash flow in year 3 and still recommend the project. Answer to 2 decimals places. 8,349.32

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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Question

Consider the following:
Year Cash Flow
0 -$8,000
1
$200
2
$400
3
?
4
$500
5
$700
The required rate of return is 8%. Find the minimum amount you
would have to receive as a cash flow in year 3 and still
recommend the project. Answer to 2 decimals places.
8,349.32

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