Question: Assuming you will receive the cash flows listed below at the corresponding periods, assume a 5% rate.
a) What is the present value of these cash flows?
Period: Cash Flow
0 - Now: 200
1: 600
2: 500
3: 100
4: 400
b) What is the future value of these cash flows at year 4 (or when you get the last 200 cash flow)?