You have been offered a 7-year investment at a price of $50,000. It will pay $5,000 at the end of Year 1, $10,000 at the end of Year 2, and $15,000 at the end of Year 3, plus a fixed but currently unspecified cash flow, X, at the end of Years 4 through 7. The payer is essentially riskless, so you are sure the payments will be made, and you regard 9% as an appropriate rate of return on riskless 7-year investments. What cash flow must the investment provide at the end of each of the final 4 years, that is, what is X?
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