What is the pv of these cash flow

Reference no: EM131414117

Jones Inc. is considering a prospective project with the following future cash inflows: $9,000 at the end of year 1, $9,500 at the end of 15 months, $10,500 at the end of 30 months, and $11,500 at the end of 38 months.

a. What is the PV of these cash flows at 7.5 percent compounded annually?

b. How does the PV change if the discount rate is 7.5 percent compounded semiannually?

Reference no: EM131414117

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