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AL0354335 AL0354335
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A year ago
You are negotiating to make a 7-year loan of $27,000 to Breck Inc. To repay you, Breck will pay $2,600at the end of Year 1, $6,000 at the end of Year 2, and $8,200at the end of Year 3, plus a fixed but currently unspecified cash flow, X, at the end of Years 4 through 7. Breck is essentially riskless, so you are confident the payments will be made, and you regard7.5% as an appropriate rate of return on low-risk 7-year loans. What cash flow must the investment provide at the end of each of the final four years; that is, what is X?


▸

$4,398.02



▸

$4,517.49



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$4,602.15



▸

$4,743.46

Textbook 
Financial Management: Theory and Practice

Financial Management: Theory and Practice


Edition: 4th
Authors:
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abu-jahdoabu-jahdo
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A year ago
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AL0354335 Author
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A year ago
Thanks for your help!!
Loruiz15
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You make an excellent tutor!
Turboturner
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2 hours ago
Correct Slight Smile TY
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