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Solarlight Inc. is considering a project with the following cash flows :

Solarlight Inc. is considering a project with the following cash flows :
YEAR Cash Flow
1 $800
2 $700
3 $600
4 $500

Calculate the future value of these cash flows in year 4., if the interest rate is 12%. What will be the present value if the interest rate is changed to 16%? 

SOLUTION