Toadies, Inc., has identifed an investment project with the following cash flows. If the discount rate is 8 percent, what is the future value of these cash flows in Year 4? What is the future value at a discount rate of 11 percent? At 24 percent?

A1 = $940A2 = $1090A3 =$ 1340A4 = $41,4051)rate , r = 8%N = 4FV = A1(1+r)^3 + A2(1+r)^2 + A3(1+r)^1 +A4= 940(1.08^3) + 1090(1.08^2) + 1340*1.08 + 41,405=$45,307.702) Rate = 11%FV = A1(1+r)^3 + A2(1+r)^2 + A3(1+r)^1 +A4= 940(1.11^3) + 1090(1.11^2) + 1340*1.11 + 41,405= $45,520.963)Rate = 24%FV = A1(1+r)^3 + A2(1+r)^2 + A3(1+r)^1 +A4= 940(1.24^3) + 1090(1.24^2) + 1340*1.24 + 41,405= $46,534.81

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