Malema Pty Ltd, a furniture manufacturer, has been offered an opportunity to accept a project that has the following mixed stream of cash flows over the next 5 years: Year 1 2 3 Cash flow 7000 8000 9000 If the company must earn at least 12% on this project. What is the present value of this project? 4 10000 5 11000

Essentials Of Investments
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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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Malema Pty Ltd, a furniture manufacturer, has been offered an opportunity to accept a project that has the following mixed
stream of cash flows over the next 5 years:
2
Year
1
3
Cash flow
7000
8000
9000
If the company must earn at least 12% on this project. What is the present value of this project?
4
10000
5
11000
Transcribed Image Text:Malema Pty Ltd, a furniture manufacturer, has been offered an opportunity to accept a project that has the following mixed stream of cash flows over the next 5 years: 2 Year 1 3 Cash flow 7000 8000 9000 If the company must earn at least 12% on this project. What is the present value of this project? 4 10000 5 11000
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