$1,200 is received at the beginning of year 1, $2,200 is received at the beginning of year 2, and $3,300 is received at the beginning of year 3. If these cash flows are deposited at 12%, their combined future value at the end of year 3 is?
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Explanation & Answer
1200 (1=.12)^1 + 2200 (1+.12)^2 + 3300 (1+.12)^3
= 1344 + 2759.68 +4636.2624
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