PV, FV and ROR - 450.00 600 450.00 600 5,450.00 5,500.00...

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Present Value, Future Value and Rate of Return The individual has $5,000 to invest.   investment A cash flows  investment B cash flows investment C  is a bank account at 6.86% 450.00 400.00   450.00 400.00 So, the "market interest 450.00 600.00 rate" is 6.86% 450.00 600.00 5,450.00 5,500.00   PV of cash flows PV of cash flows   5,440.37 5,623.64 ROR approach ROR approach -5000 -5,000 450.00 400 450.00 400
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Unformatted text preview: 450.00 600 450.00 600 5,450.00 5,500.00 9.00% 9.84% FV of cash flows FV of cash flows 586.78 521.58 549.11 488.10 513.86 685.14 480.87 641.16 5,450.00 5,500.00 total in 5 years total in 5 years FV of 5,000 at 6.86% 7,580.61 7,835.98 6,967.00 A B C 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 36 37 38 39 40 41 42...
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