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If the discount rate is 8 percent, what is the future value of the cash flows in

ID: 2638840 • Letter: I

Question

   

   

If the discount rate is 8 percent, what is the future value of the cash flows in year 4? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

If the discount rate is 11 percent, what is the future value of the cash flows in year 4? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

   

If the discount rate is 24 percent, what is the future value of the cash flows in year 4? (Do not round intermediate calculations and round your final answer to 2 decimal places. (e.g., 32.16))

Toadies, Inc., has identified an investment project with the following cash flows.

Explanation / Answer

We need to find the FV of the cash flows with different interest rates.

The formula to calculate FV = CF1 * (1 + r)1 +

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