Fundamentals of Corporate Finance Alternate Edition
Fundamentals of Corporate Finance Alternate Edition
10th Edition
ISBN: 9780077479459
Author: Stephen A. Ross, Randolph W. Westerfield, Bradford D. Jordan
Publisher: MCGRAW-HILL HIGHER EDUCATION
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Chapter 5, Problem 5.2CTF
Summary Introduction

To calculate: The present value of $11,500

Introduction:

Present value refers to the current worth of the future cash inflows after discounting with a discount rate. The present value helps to understand the amount that needs to be invested at present to obtain a predetermined amount of future cash flow.

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