Siziphiwe wants to buy Clean Carwash around the corner. The following cash flows...
✅ The verified answer to this question is available below. Our community-reviewed solutions help you understand the material better.
Siziphiwe wants to buy Clean Carwash around the corner. The following cash flows are involved:
Time (years)
|
Cash flows (R)
|
2
3
7
8
9
|
200 000
−500 000
700 000
850 000
−210 000
|
Siziphiwe can borrow money at 19% per annum while he can invest at 17,5% per annum. Calculate the present value of the cash outflows.
[Answer format: Rddd ddd,dd (R: rand; d: digit)]
[Example of an answer in the correct format: R123 456,78]
Ensure that your answer is typed in the correct format otherwise you will forfeit the mark!
Want instant access to all verified answers on mymodules.dtls.unisa.ac.za?
Get Unlimited Answers To Exam Questions - Install Crowdly Extension Now!