What is the present value of the cash flow

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An investment, which has an expected return of 18.2%, is expected to make annual cash flows forever. The first annual cash flow is expected in 1 year and all subsequent annual cash flows are expected to grow at a constant rate of 7.4% per year. The cash flow expected in 1 year from today is expected to be $80,000. What is the present value (as of today) of the cash flow that is expected to be made in 10 years from today? A. Answer not listed or not possible. B. $28,572 C. $33,773 D. $740,740 E. $152,10

Reference no: EM131528481

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