Q2 The Microsoft company has an expected ca action as follows: YO = -110,000$, Y1 = -140,000 410,000$. Presume each cash flow happens at the end of ate of (student no) %, what is the annual worth of this action over the 3-year.
Q: An investment ot S100,000 yieids a net annuat income of $19,000 at EOY1 which decreases by SLO00 per…
A: Future value(FV) is value of current amount at future date that is computed by compounding current…
Q: 4-49. Consider the accompanying cash-flow diagram. (See Figure P4-49.) (4.7) ↑ a. If P = $1,000, A =…
A: Introduction : P = Principal amount invested or present valueA = Periodic payments (Generally…
Q: Q4. Evaluate to total present worth of all the cash-flow of machine XYZ for an interest rate of 10%…
A: We determine the total of the present value of all future expenditures and benefits using the…
Q: 3) Net Cash Flow -$30,000 +S3,000 +$4,050 +$5,100 +$6,150 +$11,250 +$6,000 +$7,200 +S8,640 EOY 2 3 5…
A: The present worth is the current worth of all cash flow that has to be paid or received in the…
Q: WhenyoubuyabondforPhP2,000anditpays3%annualinterestfor10years.Howmuchinterest payments would you…
A: The interest payment for a bond is known as coupon payment. The coupon payment is received by the…
Q: 1. Compute the net present value at i=15% per year, compounded annually, for cash flow below: End of…
A: Note : As per the guidelines, only first question will be answered. Kindly post the remaining parts…
Q: 19. A business worth $180,000 is expected to grow at 12% per year compounded annually for the next 4…
A: a) The question gives the following information:
Q: 2. An investment has the following cash flows - what is the payback ? Question 2 -90,000 45,000…
A: Introduction Payback period: It is the method of capital investment evaluation. This method…
Q: Is Muscat company needs fund from external or internal to finance the new sales in 2020? And why
A: External finance means raising funds from external environment or directly from the market or taking…
Q: Question 6 Calculate the rate of return per year (IRR) for the following cash flow:(XO=s-56,000,…
A: Internal rate of return is the discount rate where the present value of inflows equals present value…
Q: A young man has decided to go into business at the age 40. He wishes to accumulate P200,000.00 at…
A: The given problem relates to growing annuity. A growing annuity is a series of cash flows…
Q: Q2: A sum of $ 10000 is borrowed by a refining oil company. Propose four different equivalent plans…
A: The time worth of cash draws from the possibility that judicious financial backers like to get cash…
Q: 3. An investment has the following cash flows. What is the ARR? Year 0 -120,000 30,000 40,000 60,000…
A: Cost of Investment : $120,000 Project Life : 5 Years Depreciation per year : $120,000 / 5 = $24,000…
Q: 3. 2. Year Cash Inflows $400,000 300,000 200,000 4 100,000 5. 200,000 What is the NPV of the…
A: Net Present Value is the difference between the current value of cash inflow and cash outflow for a…
Q: Pharoah's Soft Lemonade is starting to develop a new product for which the cash fixed costs are…
A: Expected fixed cost = $90,000 Projected EBIT = $100,000 Accounting DOL = 2.1
Q: $27,300.00
A:
Q: 2. If you invest P25,000 at 8% interest compounded annually, approximately how much money will be in…
A: The future value is the compounded value of an amount of deposit. The future value is calculated…
Q: 3. A company would like to buy an equipment will increase 30 % in the production capacity. This…
A: IRR: IRR or internal rate of return is a capital budgeting method where NPV becomes 0. IRR is…
Q: Justine Global Info Tech records the following cash flows at the end of each year for a project. If…
A: Present Value is the current value of all the cash flows which is to be received in the future which…
Q: Q1. you put in GH¢ 10,000 today in an investment account that will yield 10% p.a. for 4 years. What…
A: “Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: Q) $15,000 is invested in an account at time 0. At the end of 4 years, Invested into the same…
A: Future Value Future value (FV) is the value of a current asset at a future date based on an assumed…
Q: Problem 5. Your firm is evaluating a project that should generate revenue of P4,600 in year one,…
A: Future value of cash flows refers to the value of cash flows multiplied with future value factors.…
Q: Problem 6. Justine Global Info Tech records the following cash flows at the end of each year for a…
A: Present value: It can be defined as today’s worth of an investment that will be received in the…
Q: Year Amount $20,000/yr. 35,000/yr. 1-5 6-10 Find the present value of cash flows, assuming that the…
A: Present value means current worth of future payments at an interest rate of 14%,
Q: Sohar Video Products’ sales are expected to increase from OMR (10) million in 2020 to OMR (12)…
A: We will calculate the AFN AFN= A/S X CHANGE IN SALES - L/SO * CHANGE IN SALES- MX S1 *RR…
Q: Assume that investing $ 1,000 entitles you to a ten-year cash flow that yields $ 100 the following…
A: In order to calculate, present value of cash flows, we are required to discount the current value…
Q: Q4. Abbas Manufacturing firm uses discounted payback period to evaluate investments in capital…
A: Using excel for discounted payback period
Q: 4-49. Consider the accompanying cash-flow diagram. (See Figure P4-49.) a. If P = $1,000, A = $200,…
A: A. Investment = 1000 A = 200 Interest = 12% N = ? B. Investment = 1000 A = 200 Interest = ? N =…
Q: Sohar Video Products’ sales are expected to increase from OMR (8) million in 2020 to OMR (10)…
A: Given information : Current sales = $8 million Expected sales = $10 million Asset turnover = 2…
Q: Q5: Anees is planning to make an investment of Rs. 40,000 for a period of 4 years and the expected…
A: Capital budgeting is a financial process of evaluating capital investments in long-term projects. It…
Q: Justine Global Info Tech records the following cash flows at the end of each year for a project. If…
A: Capital budgeting: It is a method of evaluating the projects which required huge investments and…
Q: 2. Morgan Stanley's wealth management unit offers to invest profits of $750,000 made by an artist on…
A: Given Principal (P)=$750,000 Interest rate (r)=7% compounded semi-annually (n) time (t)=3 years…
Q: What amount of cash must be invested today in order to have $60,000 at the end of one year assuming…
A: The question is based on the concept of Financial management.
Q: a) Cash Flow Diagram b) manual solution Company C just went into a manufacturing contract. The…
A: Present worth is the discounted value of future cash flows. It is computed as the sum of Future cash…
Q: Q2. Suppose you borrowed $ 15 000 at 8% monthly interest to repay it in monthly installments over 4…
A: solution on next page
Q: What amount of cash would result at the end of one year, if $15,000 is invested today and the rate…
A: Financial accounting: Financial accounting is the process of recording, summarizing, and reporting…
Q: Q2: The initial investment in project is $ 2550 from now with interest 11.5%, it received yearly…
A: Capital budgeting is the process by which a corporation examines potential large projects or…
Q: Net Cash Flow -$30,000 +$3,000 +$4,050 +$5,100 +$6,150 +$11,250 +$6,000 +S7,200 +$8,640 ΕΟΥ 1 2 3 4…
A: Net Present Value is the difference between the current value of cash inflow and cash outflow for a…
Q: Q2: The GEM Company just purchased upgraded CAD software for $165,000 now and annual payments of…
A: Discounting is a technique through which present value (PV) of future cashflows is computed by using…
Q: Justine Global Info Tech records the following cash flows at the end of each year a project. If the…
A: The present value is the value of the sum received at time 0 or the current period. It is the value…
Q: 1) A company is expected to result 2900$ savings first year then increase by 200$ annually, if the…
A: The present value is the value of the sum received at time 0 or the current period. It is the value…
Q: 5-8 present and future values of a cash flow stream.An investment will pay $100 at the end of each…
A: Present value The current amount of money that will be collected in the future in the form of one…
Q: The future value of four cash flows paying $100 at the end of each year starting three years from…
A: Future Value: The future value is the amount that will be received at the end of a certain period.…
Q: YEAR 1 - RM 2000 YEAR 2 - RM 7000 YEAR 3 - RM 8000 An investment made today will pay you the…
A: The price o the investment is calculated as the present value of cash flows.
Q: Q1/ Ipswich Corporation is considering an investment opportunity with the expected net cash inflows…
A:
Q: QUESTION-1 Consider the following cash flow and calculate the rate of return. MARR is 5%, compounded…
A: Year Cash flows present value factor @ 12% Present value of cash flow @ 12% Present value…
Q: 2. A company is borrowing $1,000,000 for an office renovation. They agree to 25 annual payments. The…
A: Loan = 1,000,000 Time Period (N) = 25 Rate = 3.75% Monthly Compounding Number of compounding periods…
Step by step
Solved in 3 steps
- Assume that an investment of 100,000 produces a net cash flow of 60,000 per year for two years. The discount factor for year 1 is 0.89 and for year 2 is 0.80. The NPV is a. 0 b. 6,800 c. 1,400 d. (4,000)The future value of a cash flow occurring 36 months from today is $15000, and its present value is $12,000. The effective annual rate which corresponds to these values is closest to: Group of answer choices A. 5.73% B. 7.72% C. 0.62% D. 0.21% E. Need more information to answer the question My answer is C which is 0.62%, I just want to make sure that my answer and my formula are correct.Intro IBM is planning to produce an expert system based on artificial intelligence and expects the following cash flows (in $ million) at the end of each year: The company requires a return of 11% from this project. Year Cash flow 0 -43 1 10 15 20 30 Part 1 What is the project's profitability index? 2+ decimals Submit
- An investor is told that the following cash flow profile has a present value of $11,000 assuming that the money received at each time period is placed into an account where it earns 18% annually. For what value of X will this be true? Year Cash Flow Click here to access the TVM Factor Table calculator. $ 1 2 3 4 5 6 7 $1,300 $1,600 X X $3,000 $1,600 $400 Carry all interim calculations to 5 decimal places and then round your final answer to a whole number. The tolerance is ±5.Calculate the equivalent AW at i= 10% per year for the following net cash flow: Year Cash flow, $ -2,000 2. -2,000 3 -2,000 4 5,000 5,000 5,000 Select one: O a. 573.9 O b. 1,431.9 O c. 1,860.9 O d. 1,002.9 O e. 2.289.9Justine Global Info Tech records the following cash flows at the end of each year for a project. If the firm's discount rate is 11%, what is the PRESENT VALUE of the project? Year Cash Flow P794,633.00 2 P542,149.00 P836,200.00 4 P716,080.00 5 P520,354.00
- The future value of a cash flow occurring 36 months from today is $15000, and its present value is $12,000. The effective monthly rate which corresponds to these values is closest to: Group of answer choices A) 0.21% B) 7.72% C) 0.62% D) Need more information to answer the question E) 5.73%Assume that you will receive $2,000 a year in Years 1 through 5, $3,000 a year in Years 6through 8, and $4,000 in Year 9, with all cash flows to be received at the end of the year. Ifyou require a 14 percent rate of return, what is the present value of these cash flows? a. $ 9,851b. $13,250c. $11,714d. $15,129e. $17,353An investment of $100,000 yields a net annual income of $19,000 at EOY I which decreases by S1.000 per year until EOY 10. What is the future equivalent of all cash-flows at EOY 10 if the interest is 8% per year? O a $98,002 Ob $3.467 OC. $3,270 O d.-S8,025 Oa-$34,233
- =NPV(B26,I27:R27)-B24 B26 = discount rate of 9% B24 = initial investment of $30m I27:R27 = yearly cash flows: what are the cash flows for each year?6. A report from the marketing department indicates that a new product will generate the following revenue stream: P62,500 in the first year, P89,400 in year two, P136,200 in year three, P128,300 in year four, and P112,000 in year five. If your firm's discount rate is 11% and the cash flows are received at the end of each year, what is the present value of this cash flow stream? a.P379,435.35b.P421,173.24c.P476,036.04d.P528,400.00Intro IBM is planning to produce an expert system based on artificial intelligence and expects the following cash flows (in $ million) at the end of each year: Year Cash flow 0 -49 1 10 2 15 3 20 4 20 30 The company requires a return of 12% from this project. Part 1 What is the project's profitability index? 2+ decimals Submit