Question - Jiminez Company has two investment opportunities. Both investments cost $5,400 and will provide the following net cash flows:
Year Investment A Investment B
1 $3,700 $3,700
2 3,700 4,840
3 3,700 2,700
4 3,700 1,280
What is the total present value of Investment A's cash flows assuming an 8% minimum rate of return? (Do not round your intermediate calculations. Round your answer to the nearest whole dollar.)
a. $6,855.
b. $3,700.
c. $10,660.
d. $13,235.