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Quick clarifications on the below scenario please:
Scenario: A project’s annual operating cash inflows commences at the end of year 4 and last for a period of 15 years.
Doubt: lets say that the project did not incur any annual cash inflows for Year 1 to 3. What is the total life of the project?
18 years. The first inflow is at time 4 and the last inflow is at time 18.
(I am not sure why you have headed up your post ‘differential’ annuity. If you have a problem with the discounting for it then please to ask again 🙂 )