PV Multiple CFs.
Investment X offers to pay you $3,700 per year for nine years, whereas Investment Y offers to pay you $5,500 per year for five years.
a) Which of these cash flow streams has the higher present value if the discount rate is 6 percent?
b) If the discount rate is 22 percent?
Present Value and Multiple Cash Flows [LO1] Investment X offers to pay you $4,200 per year for eight years, whereas Investment Y offers to pay you $6,100 per year for five years. Which of these cash flow streams has the higher present value if the discount rate is 5 percent? If the discount rate is 15 percent? Please do not use excel. Please type it.
Investment X offers to pay you $4,700 per year for eight years, whereas Investment Y offers to pay you $6,700 per year for five years. Which of these cash flow streams has the higher present value if the discount rate is 5 percent? If the discount rate is 15 percent? Complete the following analysis. Do not hard code values in your calculations. All answers should be positive. Value of X at 5% _______ Value of Y at 5% _______ Value of X at 15% _______ Value of...
Investment X offers to pay you $5,500 per year for nine years, whereas Investment Y offers to pay you $8,000 per year for five years. a. Calculate the present value for Investments X and Y if the discount rate is 5 percent. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) b. Calculate the present value for Investments X and Y if the discount rate is 15 percent. (Do not round intermediate calculations and round your...
Calculating Value and Multiple Cash Flows: Investment X offers to pay you $4850 per year for nine years, whereas Investment Y offers to pay you $6775 per year for five years. Which of these cash flow streams has the higher present value if the discount rate is 5%? If the discount rate is 21%? Calculating Annuity Present Value: An investment offers $5500 per year for 15 years, with the first payment occurring one year from now. If the required return...
Investment X offers to pay you $3,902 per year for 9 years, whereas Investment Y offers to pay you $5,199 per year for 6 years. What is the dollar difference (higher minus lower) in the present values of these two cash flow streams if the discount rate is 7.32 percent? Answer to two decimals.
Investment X offers to pay you $4,800 per year for nine years, whereas Investment Y offers to pay you $6,900 per year for five years. Calculate the present value for Investments X and Y if the discount rate is 6 percent. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) Present value Investment X Investment Y Calculate the present value for Investments X and Y if the discount rate is 16 percent. (Do not...
Investment X offers to pay you $4,900 per year for nine years, whereas Investment Y offers to pay you $7,600 per year for five years. a. Calculate the present value for Investments X and Y if the discount rate is 4 percent. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) b. Calculate the present value for Investments X and Y if the discount rate is 14 percent. (Do not round intermediate calculations...
1. Present Value and Multiple Cash Flows [LO1] Investment X offers to pay you $4,200 per year for eight years, whereas Investment Y offers to pay you $6,100 per year for five years. Which of these cash flow streams has the higher present value if the discount rate is 5 percent? If the discount rate is 15 percent? 2. Future Value and Multiple Cash Flows [LO1] Fuente, Inc., has identified an investment project with the following cash flows. If the...
Investment X offers to pay you $4,700 per year for eight years, whereas Investment Y offers to pay you $6,800 per year for five years. (Use a Financial calculator to arrive at the answers. Round "PV Factor" to 3 decimal places. Round the final answers to 2 decimal places.) Calculate the present value for Investment X and Y if the discount rate is 5%. Calculate the present value for Investment X and Y if the discount rate is 15%.
Investment X offers to pay you $5,900 per year for nine years, whereas Investment Y offers to pay you $8,600 per year for five years. a. Calculate the present value for Investments X and Y if the discount rate is 4 percent. (Do not round intermediate calculations and round your answers to 2 decimal places, e.g., 32.16.) b. Calculate the present value for Investments X and Y if the discount rate is 14 percent (Do not round intermediate calculations and round your...