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Question
What is the present value of the following net cash flows if the discount rate is 12%:Year Cash Flow
1-5 $10,000 each year
6-10 $15,000 each year
11-15 $17,000 each year
a. $151,400
b. $ 86,462
c. $144,037
d. $ 79,252
Answer
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Related questions
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b. relevant information is readily available for individuals and is costless to obtain
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b. the value of the firm is independent of its capital structure in perfect capital markets with no income taxes
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Q:
Kenzel has an EPS of $4.20 and sales are $9 million. If the firm has a degree of operating leverage of 4.0 and a degree of financial leverage of 5.2, forecast EPS if the firm expects a 4% sales decline.
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