What Is the Present Value of the Following Net Cash

question 3

Multiple Choice

What is the present value of the following net cash flows if the discount rate is 10%?
$$\begin{array} { l l } \text { Year } & \text { Net Cash Flow } \\1 - 10 & \$ 20,000 \text { each year } \\11 - 15 & \$ 15,000 \text { each year } \\16 - 20 & \$ 10,000 \text { each year }\end{array}$$

• A)$217,675
• B)$153,895
• C)$322,130
• D)$167,515

---

Definitions:

APA Style

A set of guidelines for writing and formatting papers, commonly used in the social sciences, established by the American Psychological Association.

Ethics

The principles of conduct that govern a group or society.

Quoting

The practice of repeating the exact words from another source to provide evidence or support.

Summarizing

The act of presenting the main points or essence of a text or speech concisely.