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Please answer the following question:

Question 1: What is the present value of the following stream of cash flow to be received at the end of each year assuming a discount rate of 20%? What is the future value at the end of year 3 assuming an annual interest rate of 20%?

Year 1 : 0

Year 2 : $10,000

Year 3 : $15,000

Question 2: What is the approximative present value of $1,000 to be received each year for 15 years assuming a discount rate of 10%?

Note: Provide support for rationale.

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Basic Finance, Finance

Category:- Basic Finance
Reference No.:- M91163114

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