Find the present worth of the following infinite cash flows, using i = 8%/year. Year Cash flows at the end of each year 1 0 2 0 3 0 4 $500 5 $1100 6 $500 7 $1100 8 $500 9 $1100
Find the present worth of the following infinite cash flows, using i = 8%/year. Year Cash flows at the end of each year 1 0 2 0 3 0 4 $500 5 $1100 6 $500 7 $1100 8 $500 9 $1100
Chapter1: Making Economics Decisions
Section: Chapter Questions
Problem 1QTC
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Question
Find the present worth of the following infinite cash flows, using i = 8%/year.
Year Cash flows at the end of each year
1 0
2 0
3 0
4 $500
5 $1100
6 $500
7 $1100
8 $500
9 $1100
: :
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