Question

. Consider a series of $71 end-of-period CFs spanning 2050-2055 and a $103 CF at the...

. Consider a series of $71 end-of-period CFs spanning 2050-2055 and a $103 CF at the beg of 2066. The interest rate is 2.4%. What is the equivalent value of these CFs at the beg of 2046? (answer: $420.97

Please show all work

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Answer #1

It is to be noted that CF at the beginning of the year 2066 is to be considered as CF at the end of the year 2065

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