What is the present value of the following set of cash flows at an interest rate of 7%: $1,000 today, $2,000 at end of year 1, $4,000 at end of year 2, and $6,000 at end of year 3? How would you solve this using a TI-84 calculator?
Using TI 84 calculator
Enter the following
npv(7, 1000, {2000, 4000, 6000})
Then press ENTER
What is the present value of the following set of cash flows at an interest rate...
what is the Present Value of an asset that pays the following cash flows, if you can invest them at a rate of return of 5%? Time Period Cash Flow 0 2 4 75 75 75 75 75 Note: this is an 'ordinary annuity', it is the default assumption for both Excel and your financial calculator. a) Identify the assumptions given in this problem Rate of Return # of years Annual Payment Future Value b) Solve this problem using the...
Find the Future Value (FV) of the following set of unequal cash flows: Year 1: 1,000; Year 2: 1,500; Year 3: 0; Year 4: 2,500; Year 5: 3,000. Assume a 6% interest rate. Try to solve the problem using both algebra and the cash flow worksheet on the calculator. Select one: O a. $7,017.54 O b. $8,721.08 O c. $10,576.68 O d. $9,210.60 e. $8,322.01
a. What is the present value of the following set of cash
flows, discounted at 10.8 % per year?
a. What is the present value of the following set of cash flows, discounted at 10.8% per year? Year - CF $8 $19 $19 $30 b. What is the present value of the following set of cash flows, discounted at 10.8% per year? Year CF $52 $41 $30 $ 19 9 8 c. Each set contains the same cash flows ($8,...
(Present value of an uneven stream of payments) You are given three investment alternatives to analyze. The cash flows from these three investments are as follows:InvestmentEnd of YearABC1$1,000$2,000$5,00022,0002,0005,00033,0002,000(5,000)4(4,000)2,000(5,000)54,0005,00015,000 What is the present value of each of these three investments if the appropriate discount rate is 11 percent?
What is the present value of the following set of end of the year cash flows: Year 1: $450; Year 2: $600; and then an eight year annuity of $400 per year if the discount rate is 9%? Group of answer choices $2,214 $2,462 $2,781 $3,112 $3,244
Use Excel to calculate the expected present value of the
following cash flows using a 5% discount rate? Be prepared to
explain how you calculated your answer.
Year 1 Cash Flow Estimates $ 1,500 $ 2,000 $ 2,500 Probabiltiy of Estimate 10% 50% 40% Total Year 2 $ $ $ 3,300 3,600 4,000 15% 40% 45%
a. What is the present value of the following set of cash flows, discounted at 10.3% per year? Year CF WO S8 $17 $26 b. What is the present value of the following set of cash flows, discounted at 10.3% per year? Year $35 $26 $8 c. Each set contains the same cash flows (S8, S17, $26. $35, $44), so why is the present value different? a. What is the present value of the following set of cash flows, discounted...
What is the net present value of the following set of cash flows at a discount rate of 5 percent: Year 0 = -$62,000; Year 1 = $16,500; Year 2 = $23,800; Year 3 = $27,100 and Year 4 = $23,300?
What is the net present value (NPV) of a project that has the following cash flows? The required return is 10.0% Year 0 1 2 Cash Flow $ (5,000) $2,000 $ 2,000 $ 2,000 $3,000 $1,000 $1,000 3 4 5 6
What is the net present value of the following set of cash flows at a discount rate of 6 percent? At 12 percent? Year Cash Flow 0 −$ 47,500 1 12,500 2 18,500 3 21,500 4 22,000