Year Cash Flow $22,900 40,900 58,900 235 Assume an interest rate of 9.7 percent per year. a. If today is Year O, what is the future value of the cash flows five years from now? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. If today is Year O, what is the future value of the cash flows ten years from now? (Do not round intermediate calculations and nd your answer to 2 decimal places, e.g., 32.16.)
Year Cash Flow $22,900 40,900 58,900 235 Assume an interest rate of 9.7 percent per year. a. If today is Year O, what is the future value of the cash flows five years from now? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) b. If today is Year O, what is the future value of the cash flows ten years from now? (Do not round intermediate calculations and nd your answer to 2 decimal places, e.g., 32.16.)
Cornerstones of Financial Accounting
4th Edition
ISBN:9781337690881
Author:Jay Rich, Jeff Jones
Publisher:Jay Rich, Jeff Jones
ChapterA3: Time Value Of Money
Section: Chapter Questions
Problem 13E
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Question
pare.3
![Year Cash Flow
2 $22,900
40,900
58,900
ων
3
5
Assume an interest rate of 9.7 percent per year.
a. If today is Year O, what is the future value of the cash flows five years from now? (Do
not round intermediate calculations and round your answer to 2 decimal places,
e.g., 32.16.)
b. If today is Year O, what is the future value of the cash flows ten years from now? (Do
not round intermediate calculations and round your answer to 2 decimal places,
e.g., 32.16.)
a. Value in five years
b. Value in ten years](/v2/_next/image?url=https%3A%2F%2Fcontent.bartleby.com%2Fqna-images%2Fquestion%2Fd7bc9654-9c73-4d37-bf34-670021de0f62%2F482dff83-561f-42c4-9b7d-28eb72b2fce0%2Fqs1n25_processed.jpeg&w=3840&q=75)
Transcribed Image Text:Year Cash Flow
2 $22,900
40,900
58,900
ων
3
5
Assume an interest rate of 9.7 percent per year.
a. If today is Year O, what is the future value of the cash flows five years from now? (Do
not round intermediate calculations and round your answer to 2 decimal places,
e.g., 32.16.)
b. If today is Year O, what is the future value of the cash flows ten years from now? (Do
not round intermediate calculations and round your answer to 2 decimal places,
e.g., 32.16.)
a. Value in five years
b. Value in ten years
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