Determine the present value of the cash flows


Problem

The ABC Block Company anticipates receiving $4000 per year from its investments (differential inflation rate of 0%) over the next 5 years. If ABC's interest rate is 8% and the inflation rate is 3%, determine the present value of the cash flows.

The response should include a reference list. Double-space, using Times New Roman 12 pnt font, one-inch margins, and APA style of writing and citations.

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Microeconomics: Determine the present value of the cash flows
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