Calculate and rank the economic values of the following cash flow streams:
(i) A single payment of $10,000 eight years from now.
(ii) An annuity due starting today with eight annual payments of $850.
(iii) An annuity due starting in eight years with eight annual payments of $1700. Do the calculations and ranking for each of two cases:
a) Money can earn 8% compounded annually for the next 16 years.
b) Money can earn 10% compounded annually for the next 16 years.

Question

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The Answer of Calculate and rank the economic values of the following cash flow streams:
(i) A single payment of $10,000 eight years from now.
(ii) An annuity due starting today with eight annual payments of $850.
(iii) An annuity due starting in eight years with eight annual payments of $1700. Do the calculations and ranking for each of two cases:
a) Money can earn 8% compounded annually for the next 16 years.
b) Money can earn 10% compounded annually for the next 16 years.

Calculate and Rank the Economic Values of the Following Cash