Calculate the present value of estimate of cash flows

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Reference no: EM13805828

t=1: 364,000(Operating cost, nominal)

t=2: 378,560(Operating cost, nominal)

t=3: 393,702(Operating cost, nominal)

t=4: 409,451(Operating cost, nominal)

Calculate the present value of this estimate of cash flows(operating costs in nominal$) if the nominal MARR is 10%. PV=

Please show your work. I calculated Real MARR as 5.77% but have no idea what to do next.

And how would I calculate the present value of cash flows for operating costs if they are stated in inflation-adjusted dollars?

Reference no: EM13805828

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