Q: Define actuarial rate of return
A: Definition: Actuarial rate of return is the expected value of losses of an insurance company that…
Q: Find expected return for G.
A: Expected Return is the amount of loss or profit an investor expects to receive on an investment.
Q: Order the expected values from smallest to largest.
A: Expected Value: It is estimated by adding all the outcomes which are weighted by their…
Q: present value is the
A: https://docs.google.com/document/d/19Usy902_lK6tWQ3RgtQiUedGybbYnqlidq6sySnT8YI/edit
Q: Define total net present value (TNPV)
A: Total net present value of an investment is the present value of the future cash inflows due to a…
Q: Calculate i.
A: An accumulated sum at a future point is the summation of interest and principal. Interest is charged…
Q: Wich type of interest, the factor (F/P,i, n) replace?
A: While calculating compounding interest we have to find future value.
Q: n of the
A: The right answer is C None of these answer choices.
Q: RMU
A: We need to compute the future price of machine after 8 years and then shall compute the amount to be…
Q: Complete the following using present value.
A: Time value of money (TVM) means the amount of money received in the present period will have more…
Q: Simple Rate of Return
A: Simple rate of return = Net operating income * 100/ Cost of investment
Q: 6, calculate the net present value (NPV) and indicate whether to accept or reject the machine.
A: Calculation of NPV using Excel Function: Excel Spreadsheet:
Q: Can you have an investment with DCFRR > MARR, but NPV < $0 (calculating NPV with iry=MARR)?
A: 1. The first investment is not profitable 2. The second investment is profitable 3. The third…
Q: the present value P is closest to:
A: Present Value: It is the present worth today of a stream of annual cashflows. These cashflows are…
Q: With the given information, find the Net Present Value (NPV).
A: The net worth of the project after the deduction of the current worth of the cash outflows from the…
Q: Required: i. Using present-value method, determine the best alternative ii. Using the internal rate…
A: By using present value method , debt alternative carrying interest of 10% is the best alternative…
Q: find The internal rate of return (IRR) for this case in exceland equation.
A: Internal rate of return(IRR) is the rate at which the the initial cost of project is equal to…
Q: Calculate the Mean value
A: PERT technique refers to the techniques which are used to simplify the scheduling and planning of…
Q: Finish the formula for Simple Interest. I = Simple intrest, P = Principle, R = rate and T = time.
A: Simple interest is the simplest method of calculating the interest charged on the loan. The simple…
Q: what is meant by the required rate of return
A: The return which is expected to be earned by investing in a security is known as Required Rate of…
Q: what is the value of N?
A: Net pay is the pay which has been received by the employee from the employer in hand means net pay…
Q: How to calculate r value
A: The interest rate: The rate that is used to compute the simple or compound interest is known as the…
Q: e Internal rate of return
A: The following problem can be solved using XIRR function in excel.
Q: Draw a figure to explain Elements of required return - establishing a MARR?
A: The figure is represented as below: Note: Values assumed
Q: The net present value f
A: Since you have posted multiple independent questions in the same request, we will solve the first…
Q: Define alpha value.
A: Alpha is a value that is used in computation of expected return from an investment. Expected return…
Q: Determine the present equivalent value
A: Note: Since you have asked multiple questions, we will solve the first question for you. If you…
Q: Describe the process of calculating NPV.
A: Net Present Value (NPV) is a capital budgeting technique which uses a discount rate to bring all the…
Q: nd show your soluti
A: shareholders' equity of NNN Company on December 31, 2014 follows: calculation of Book value of per…
Q: Define each of the following terms:f. Residual value
A: Introduction: Residual value is one of the elements of leasing computation or process. It defines…
Q: Define estimates.
A: Estimates are future predictions of something. For example at the beginning of the year a business…
Q: are exp Net Present Value for Machine A using NPV
A: Present value of cashflow = Cashflow/(+discounting rate)^number of year
Q: Fill in the missing interest factor: (P/A, i%, N)(———) = (F/A, i%, N).
A: Time value of money- It is based on the concept that money earned today is worth more than similar…
Q: compute the value
A: The Future Value of an amount at a future point is the compounding of an amount with the interest…
Q: compute for throughput time
A: Throughput time or the period is the time in days or in hours which are required by the company in…
Q: Define Profi t and loss (P&L) statement
A: Introduction: The financial statement is a detailed analysis of the financial situation of the…
Q: value. T
A: 1. Memorandum method: Jan 5 Cash A/c Dr. 125,000…
Q: how to calculate FV?
A: Meaning of future value (FV):Future value refers to value of an asset or the value of a sum of money…
Q: Define Net profi t margin
A: Net Profit Margin is calculated by dividing Net Profit by Revenue. It is a financial ratio used to…
Q: what is the total value
A: Introduction: The term perpetuity is also an annuity wherein the series of payments would continue…
Q: Compute the thed Be
A: * As per Bartleby policy, when multiple different questions are asked then answer first only.…
Q: please state and explain the computational steps of a Net Present Value (NPV) calculation
A: NPV is used in corporate finance in taking decision on whether to accept or reject any project or…
Q: ne value be if the p calculations and r ne value be if the p calculations and re hn ne value be if…
A: Note : As per the guidelines, only first three parts will be answered. Kindly post the remaining…
Q: Explain how to calculate net realizable value.
A: Net realizable value refers to the total amount of money which a company will get from selling the…
Q: What is Net Present Value (NPV)?
A: Time value of money: Time value of money refers to the concept that the value of money available at…
Q: Define Profi t margin
A: financial ratios are created with the use of numerical values taken from the financial statements.
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- You want to invest $8,000 at an annual Interest rate of 8% that compounds annually for 12 years. Which table will help you determine the value of your account at the end of 12 years? A. future value of one dollar ($1) B. present value of one dollar ($1) C. future value of an ordinary annuity D. present value of an ordinary annuityCalculating interest earned and future value of savings account. If you put 6,000 in a savings account that pays interest at the rate of 3 percent, compounded annually, how much will you have in five years? (Hint: Use the future value formula.) How much interest will you earn during the five years? If you put 6,000 each year into a savings account that pays interest at the rate of 4 percent a year, how much would you have after five years?Calculate the present value at t=0 (now) of the following cash flows: D. $100 every 3 years forever, with the first payment at t=3 (t counts years), where the effective annual rate is .05 (i.e. 5%) E. $1000 every 3 years forever, with the first payment at t = 3 (t counts years), where the effective annual rate is .05 (i.e., 5%). F. $1000 every 3 years forever, with the first payment at t = 3 (t counts years), where the effective annual rate is .10 (i.e., 10%).
- What is the present value of end-of-year cash flows of $1,000 per year, with the first cash flow received three years from today and the last one 10 years from today? Use a discount rate of 12 percentYou are offered the choice of 4 cash flow streams. Assume an 8% discount rate for each. Which cash flow stream is least valuable to you today? A. $1000 per year to be received at the end of each of the next 10 years. B. $10,000 to be received at the end of 15 years. C. $10,000 to be received at the end of 10 years. D. $250 per quarter to be received at the end of each quarter for the next 10 years.What is the present value of the following cash flows if the discount rate is at 5%? You receive 100 today, 200 in each of next 3 years (Year 1,2,3) and 150 in each of the next following 2 years (Year 4,5)? Enter your answer in absolute number with 2 decimal places.
- What is the present value of end-of-year cashflows of $1,000 per year, with the first cashflow received three years from to day and the last one 10 years from today? Use a discount rate of 12 percentConsider two streams of cash flows, A and B. Stream A's first cash flow is $10,000 and is received three years from today. Future cash flows in Stream A grow by 3 percent in perpetulty. Stream B's first cash flow is -$8,900, is received two years from today, and will continue in perpetuity. Assume that the appropriate discount rate is 11 percent. a. What is the present value of each stream? (A negative amount should be indicated by a minus sign. Do not round Intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Stream A Stream B b. Suppose that the two streams are combined into one project, called C. What is the IRR of Project C? (Do not round Intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) IRR % c. What is the correct IRR rule for Project C? Accept the project if the discount rate is equal the IRR. O Accept the project if the discount rate is above the IRR. Accept the project if the discount rate is…Suppose you receive$130 at the end of each year for the next three years. a. If the interest rate is10%, what is the present value of these cash flows? b. What is the future value in three years of the present value you computed in(a)? c. Suppose you deposit the cash flows in a bank account that pays 10%interest per year. What is the balance in the account at the end of each of the next three years (after your deposit is made)? How does the final bank balance compare with your answer in (b)?
- Consider two streams of cash flows, A and B. Stream A’s first cash flow is $9,800 and is received three years from today. Future cash flows in Stream A grow by 3 percent in perpetuity. Stream B’s first cash flow is −$9,100, is received two years from today, and will continue in perpetuity. Assume that the appropriate discount rate is 11 percent. a. What is the present value of each stream? b. Suppose that the two streams are combined into one project, called C. What is the IRR of Project C?You are given $200 each year starting next year and finishing in 15 years (t = 15). If the discount rate is 6% p.a., what is the present value of the future cashflows??Find the present value of the following cash flow: receive $7 every year for 28years with the first payment being 9 years from now. Assume an effective annual rate of 5.1%