Tools Help 1000 points million in 2018 and 2019 and 119 mill

Tools Help 10.00 points million in 2018 and 2019, and $11.9 million in 2020 eBook & Resources 7/14/2018

Solution

We need to calculate the Net present value of the future cash flows using excel NPV function Future flows are B5:B10 2015 4200000 $38,447,650.17 NPV(12%,B5:B10) 2016 10900000 11000000 add amt received immediately 2017 11000000 49447650.17 total (Answer) 2018 10100000 2019 10100000 2020 11900000 sum 58200000 amt received immediately 11000000 total 69200000 Present value $ 49447650.17