Which of the following processes can be used to calculate the future value for multiple cash flows? More than one answer may be correct. Multiple select question. Adding all the single cash flows and finding the future value of the single lump sum amount Discounting all of the cash flows back to Year 0 Calculating the future value of each cash flow first and then adding them up Compounding the accumulated balance forward one year at a time

Intermediate Financial Management (MindTap Course List)
13th Edition
ISBN:9781337395083
Author:Eugene F. Brigham, Phillip R. Daves
Publisher:Eugene F. Brigham, Phillip R. Daves
Chapter19: Lease Financing
Section: Chapter Questions
Problem 2MC
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Which of the following processes can be used to calculate the future value for multiple cash flows? More than one answer may be correct.

Multiple select question.

Adding all the single cash flows and finding the future value of the single lump sum amount

Discounting all of the cash flows back to Year 0

Calculating the future value of each cash flow first and then adding them up

Compounding the accumulated balance forward one year at a time

 

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