Using the Technique of Equivalent Annual Cash Flows and a Discount

question 65

Multiple Choice

Using the technique of equivalent annual cash flows and a discount rate of 7 percent, what is the value of the following project? $\begin{array} { l l l l l l } \text { Year } & 0 & 1 & 2 & 3 & 4 \\\text { CF } & - 22 & 8 & 9 & 11 & 13\end{array}$

• A)3.06
• B)3.61
• C)10.25
• D)12.23

---

Definitions:

Marital Relationship

The emotional, physical, and social bond between two individuals in a legally and socially recognized union.

Happiness

A state of well-being characterized by emotions ranging from contentment to intense joy.

Crystallized Intelligence

The ability to use learned knowledge and experience, which typically increases or remains stable over a person's lifetime.

Stored Information

Data or knowledge that is saved or archived in a retrievable manner.