Barbara R.

asked • 09/15/13

Suppose that an asset’s cash flow decreases at a constant rate of 4% per year. Use the geometric progression.

a. If the asset’s initial cash flow is $1,000 (a1 = 1000), what will the asset’s cash flow be in 23 years? (a23 = ?)
b. What is the total sum of the asset’s cash flows for 50 years (starting from $1,000 initial cash flow)? (S50 = ?)

1 Expert Answer

By:

Thomas L. answered • 09/19/13

Tutor
4.9 (26)

Mathematics Tutor

Still looking for help? Get the right answer, fast.

Ask a question for free

Get a free answer to a quick problem.
Most questions answered within 4 hours.

OR

Find an Online Tutor Now

Choose an expert and meet online. No packages or subscriptions, pay only for the time you need.