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You are offered a chance to buy an asset for $4,250 that is expected to produce cash flows of
$750 at the end of Year 1, $1,000 at the end of Year 2 , $850 at the end of Year 3 , and $6,250 at
the end of Year 4 . What rate of return would you earm if you bought this asset?
19.14%21.88%24.86%29.84%24.37%

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Calculate Rate of Return for an Asset with Variable Cash Flows

  • 1. You are offered a chance to buy an asset for $4,250 that is expected to produce cash flows of $750 at the end of Year 1, $1,000 at the end of Year 2 , $850 at the end of Year 3 , and $6,250 at the end of Year 4 . What rate of return would you earm if you bought this asset? 19.14%21.88%24.86%29.84%24.37%