What is equivalent annual annuity

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Project A requires an initial investment of $6,000 at t = 0. Project A has an expected life of 4 years with after-tax cash inflows of $1,000, $2,000, $3,000, $4,000 at the end of Years 1, 2, 3, and 4 respectively. The project has a required return of 8%. What is the equivalent annual annuity?

Reference no: EM132022764

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