Question

assume you have the following cash flow : year 0 : -80 year 1 : 0...

assume you have the following cash flow :

year 0 : -80

year 1 : 0

year 2 : 50

year 3 : 240

year 4 : 290

what is the annual equivalent of this cash flow for the 4 years with an interest rate of 4 %

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Answer #1

Solution :

The annual equivalent of this cash flow for the 4 years with an interest rate of 4 % = $ 117.77

Please find the attached screenshot of the excel sheet containing the detailed calculation for the solution.

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