Cash flows of $5000 in 2 years and $7000 in 4 years with a present value of $10 594.32 in 1 year are being discounted at an interest rate of:
A)5% per annum.
B)6% per annum.
C)7% per annum.
D)8% per annum.

Question

Quizplus · Accepted Answer

The Answer of Cash flows of $5000 in 2 years and $7000 in 4 years with a present value of $10 594.32 in 1 year are being discounted at an interest rate of:
A)5% per annum.
B)6% per annum.
C)7% per annum.
D)8% per annum.

Cash Flows of $5000 in 2 Years and $7000 in 4