Dhofar Insurance Company has made an investment in another company that will guarantee it a cash flow of OMR 37250 each year for the next five years. If the company uses a discount rate of 15 percent on its investments, what is the present value of this investment Select one: O a. 124867.77 OMR O b. 120680.04 OMR O c. 127107.50 OMR O d. None of these O e. 127107.50 OMR

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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Dhofar Insurance Company has made an investment in another company that will guarantee it a cash flow of
OMR 37250 each year for the next five years. If the company uses a discount rate of 15 percent on its
investments, what is the present value of this investment
Select one:
a. 124867.77 OMR
b. 120680.04 OMR
c. 127107.50 OMR
O d. None of these
e. 127107.50 OMR
Transcribed Image Text:Dhofar Insurance Company has made an investment in another company that will guarantee it a cash flow of OMR 37250 each year for the next five years. If the company uses a discount rate of 15 percent on its investments, what is the present value of this investment Select one: a. 124867.77 OMR b. 120680.04 OMR c. 127107.50 OMR O d. None of these e. 127107.50 OMR
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