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Your firm is considering an investment that will cost $920,000 today. The investment will produce cash flows of $450,000 in year 1, $270,000 in years 2 through 4, and $200,000 in year 5. The discount rate
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Your firm is considering an investment that will cost $920,000 today. The investment will produce cash flows of $450,000 in year 1, $270,000 in years 2 through 4, and $200,000 in year 5. The discount rate that your firm uses for projects of this type is 11.25%. What is the investment's equivalent annual annuity?

a. $52,377
b. $42,923
c. $41,387
d. $40,399

User Amol Wadekar
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1 Answer

6 votes

Answer:

i think its c

Step-by-step explanation:

User Jpecht
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