The GEM Company just purchased upgraded CAD software for $20,000 now and annual payments of $600...
The GEM Company just purchased upgraded CAD software for $20,000 now and annual payments of $600 per year for 10 years starting 3 years from now for annual upgrades. What is the present worth in year 0 of the payments if the interest rate is 6% per year? solve it in Excel, shoe formula
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The GEM Company just purchased upgraded CAD software for $20,000
now and annual payments of $600...
slove it in excel , show formula The GEM Company just purchased upgraded CAD software for...
slove it in excel , show formula
The GEM Company just purchased upgraded CAD software for $20,000 now and annual payments of $600 per year for 10 years starting 3 years from now for annual upgrades. What is the present worth in year 0 of the payments if the interest rate is 6% per year? solve it in
3.10 A company purchased new equipment for $250,000 now, that will require annual operations and maintenance...
3.10 A company purchased new equipment for $250,000 now, that will require annual operations and maintenance (O&M) costs of $30,000 per year for 5 years starting 3 years from now. What is the present worth of these costs if the interest rate is 8% per year?
1. Suppose that you will receive annual payments of $20,000 for a period of 10 years....
1. Suppose that you will receive annual payments of $20,000 for a period of 10 years. The first payment will be made 5 years from now. If the interest rate is 5%, what is the present value of this stream of payments? (Do not round intermediate calculations. Round your answer to 2 decimal places.) 2. The $47.5 million lottery payment that you have just won actually pays $1.9 million per year for 25 years. The interest rate is 10%. a....
3. Determine the present worth of a maintenance contract that has a cost of $50,000 in...
3. Determine the present worth of a maintenance contract that has a cost of $50,000 in year 1 and annual increases of 8% per year for 10 years. Use an interest rate of 8% per year. (10 points) Pg=. 2 - 8v. Sop VVVV. 72 70 Now $s < 4. The equivalent present worth of a geometric gradient series of cash flows for 10 years was found to be $19,776. If the interest rate was 15% per year and the...
b. If the company makes the first deposit one year from now, how much should each...
b. If the company makes the first deposit one year from now, how much should each deposit be? 3. A start-up internet service provider expects to lose money in each of the first four years. Losses are projected to be $50 million in year one, $40 million in year two, $30 million in year three and $20 million in year four. An interest rate of 10% per year is used. a. What is the present worth of the losses for...
A machine purchased 3 years ago for $140,000 is now too slow to satisfy the demand...
A machine purchased 3 years ago for $140,000 is now too slow to satisfy the demand of the customers. It can be upgraded now for $82,000 or sold to a smaller company internationally for $44,000. The upgraded machine will have an annual operating cost of $80,000 per year and a $30,000 salvage value in 3 years. If upgraded, the presently owned machine will be retained for only 3 more years, then replaced with a machine to be used in the...
Blue spruce Corp. has just purchased equipment that requires annual payments of $55,000 to be paid...
Blue spruce Corp. has just purchased equipment that requires annual payments of $55,000 to be paid at the end of each of the next 4 years. The appropriate discount rate is 10%. What is the present value of the payments A. 174343 B. 220144 C. 107119 D. 210279
You have just won a $5 million lottery to be received in twenty annual equal payments of $250,000. What will happen...
You have just won a $5 million lottery to be received in twenty annual equal payments of $250,000. What will happen to the present value of your winnings if the interest rate increases during the next 20 years? It will be worth less. It will be worth more. It will not change It will increase during the first ten years.
Please show all work You expect to receive a lump sum amount of $20,000 fifty years...
Please show all work You expect to receive a lump sum amount of $20,000 fifty years from now. But you want that money now. So what is the present value of that sum if the current discount rate is 7.5%? Assume annual compounding. 2. You have just purchased a $1,500 five year certificate of deposit (CD) from a savings bank which will pay 3.5% interest compounded monthly. What will that CD be worth at maturity? 3. Calculate the...
15). 15) John's Auto Repair just obtained an interest-only loan of $35,000 with annual payments for 10 years and an...
15). 15) John's Auto Repair just obtained an interest-only loan of $35,000 with annual payments for 10 years and an interest rate of 8 percent. What is the amount of the loan payment in Year 8? A) $4,280.00 S D B) $4.918.07 SWEDE C) $5,216.03 D) $2,800.00 E) $5,211.06 16) _ 16) Four years ago, Saul invested $500. Three years ago, Trek invested $600. Today, these two investments are each worth $800. Assume each account continues to earn its respective...
slove it in excel , show formula
The GEM Company just purchased upgraded CAD software for $20,000 now and annual payments of $600 per year for 10 years starting 3 years from now for annual upgrades. What is the present worth in year 0 of the payments if the interest rate is 6% per year? solve it in
3. Determine the present worth of a maintenance contract that has a cost of $50,000 in year 1 and annual increases of 8% per year for 10 years. Use an interest rate of 8% per year. (10 points) Pg=. 2 - 8v. Sop VVVV. 72 70 Now $s < 4. The equivalent present worth of a geometric gradient series of cash flows for 10 years was found to be $19,776. If the interest rate was 15% per year and the...
b. If the company makes the first deposit one year from now, how much should each deposit be? 3. A start-up internet service provider expects to lose money in each of the first four years. Losses are projected to be $50 million in year one, $40 million in year two, $30 million in year three and $20 million in year four. An interest rate of 10% per year is used. a. What is the present worth of the losses for...
You have just won a $5 million lottery to be received in twenty annual equal payments of $250,000. What will happen to the present value of your winnings if the interest rate increases during the next 20 years? It will be worth less. It will be worth more. It will not change It will increase during the first ten years.
15). 15) John's Auto Repair just obtained an interest-only loan of $35,000 with annual payments for 10 years and an interest rate of 8 percent. What is the amount of the loan payment in Year 8? A) $4,280.00 S D B) $4.918.07 SWEDE C) $5,216.03 D) $2,800.00 E) $5,211.06 16) _ 16) Four years ago, Saul invested $500. Three years ago, Trek invested $600. Today, these two investments are each worth $800. Assume each account continues to earn its respective...
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