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At an Interest Rate of 10%, Which of the Following  Year 1  Year 2  Year 3 \begin{array}{llcc}& \text { Year 1 } & \text { Year 2 } & \text { Year 3 }\end{array}

Question 95

Multiple Choice

At an interest rate of 10%, which of the following cash flows should you prefer?
 Year 1  Year 2  Year 3 \begin{array}{llcc}& \text { Year 1 } & \text { Year 2 } & \text { Year 3 }\end{array}

A. 500300100\begin{array}{llcc}& 500 &\quad\quad 300 &\quad 100\end{array}

B. 100300500\begin{array}{llcc}& 100 &\quad\quad 300 & \quad500 \end{array}

C. 300300300\begin{array}{llcc}& 300 &\quad\quad 300 &\quad 300\end{array}

D.  Any of the above as they all add up to $900\text { Any of the above as they all add up to } \$ 900


A) Option A
B) Option B
C) Option C
D) Option D

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