Investment Decision illustration 19

Financial Management

PV of Cash Inflows Formula is 1/(1+r)^n why u used FV/ r % sir ? Please Clarify my Doubt sir .

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Narmadhaa Paranthaman

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28-Feb-23 17:22

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Answers (6)

Can anyone please Answer to my doubt?

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Narmadhaa Paranthaman

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28-Feb-23 17:40

The question mentions that the cashflows will be indefinite. PV of Infinite series of cashflow = Cashflow / discount rate

CA Suraj Lakhotia

Admin

28-Feb-23 21:41

Thankyou So Much Sir

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Narmadhaa Paranthaman

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28-Feb-23 21:42

Also in future please mention the reference of video or the question, it would help us respond faster.

CA Suraj Lakhotia

Admin

28-Feb-23 21:44

Sure sir Thankyou sir

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Narmadhaa Paranthaman

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28-Feb-23 21:45

Good Morning Sir....In Illustration 19 Investment Decisions Chapter, While Calculating Adjusted Discount Rate ....There is a change in answer sir... I seen this sum in YouTube , it shows 9.8% answer but ISM Answer is 8.8%......Which one i consider answer sir ? Your method or ISM Method Sir?

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Thread Starter

Narmadhaa Paranthaman

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01-Mar-23 07:07