Present value and multiple cash flows

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Present Value and Multiple Cash Flows

Investment X offers to pay you $2,800 per year for ten years, whereas Investment Y offers to pay you $5,200 per year for five years. Which of these cash flow streams has the higher present value if the discount rate is 5 per cent? If the discount rate is 20 per cent?

PV of 2800 for 10 years at 5%: $____________.

PV of 5,200 for 5 years at 5%: $____________.

PV of 2,800 for 10 years at 20%: $____________.

PV of 5,200 for 5 years at 20%: $____________.

Reference no: EM131841201

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