What is the present value of investment A at an annual discount rate of 1212
Question
a. What is the present value of investment A at an annual discount rate of 1212
percent? $nothing (Round to the nearest cent.) b. What is the present value of investment B at an annual discount rate of 1212 percent? $nothing (Round to the nearest cent.) You are given three investment alternatives to analyze. The cash flows from these three investments are asfollows:
| End of Year | A | B | C |
| 1 | $3,000 | $3,000 | $4,000 |
| 2 | 4000 | 3000 | 4000 |
| 3 | 5000 | 3000 | (4,000) |
| 4 | -6000 | 3000 | (4,000) |
| 5 | 6000 | 7000 | 14000 |
a. What is the present value of investment A at an annual discount rate of 12 percent? (Round to the nearest cent.)
b. What is the present value of investment B at an annual discount rate of 12 percent? (Round to the nearest cent.)