Question

Which of the following refers to a series of equal future cash flows? a. Overhead b....

Which of the following refers to a series of equal future cash flows?

a.

Overhead

b.

Insurance

c.

The discount factor

d.

Annuity

e.

Future earning

0 0
Add a comment Improve this question Transcribed image text
Answer #1

Answer: Option d. Annuity

An annuity is a series of equal future cash flows at equal intervals. Hence, option d. is the correct answer.

Add a comment
Know the answer?
Add Answer to:
Which of the following refers to a series of equal future cash flows? a. Overhead b....
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Not the answer you're looking for? Ask your own homework help question. Our experts will answer your question WITHIN MINUTES for Free.
Similar Homework Help Questions
  • When we express the value of a cash flow or series of cash flows in terms...

    When we express the value of a cash flow or series of cash flows in terms of dollars​ today, we call it the​ ________ of the investment. If we express it in terms of dollars in the​ future, we call it the​ ________. A. future​ value; present value B. discount​ factor; discount rate C. present​ value; future value D. ordinary​ annuity; annuity due

  • A series of equal cash flows at fixed intervals is termed a(n) a. net cash flow...

    A series of equal cash flows at fixed intervals is termed a(n) a. net cash flow b. present value index c. annuity d. price-level index

  • 7. Future value of annuities There are two categories of cash flows: single cash flows, referred...

    7. Future value of annuities There are two categories of cash flows: single cash flows, referred to as "lump sums," and annuities. Based on your understanding of annuities, answer the following questions. Which of the following statements about annuities are true? Check all that apply. O Ordinary annuities make fixed payments at the beginning of each period for a certain time period. An annuity is a series of equal payments made at fixed intervals for a specified number of periods....

  • 34. Which of the following statements is CORRECT? a. The cash flows for an annuity due...

    34. Which of the following statements is CORRECT? a. The cash flows for an annuity due must all occur at the beginning of the periods. b. If some cash flows occur at the beginning of the periods while others occur at the ends, then we have what the textbook defines as a variable annuity. c. The cash flows for an ordinary (or deferred) annuity all occur at the beginning of the periods. d. The cash flows for an annuity may...

  • 1. Future value of annuities There are two categories of cash flows: single cash flows, referred...

    1. Future value of annuities There are two categories of cash flows: single cash flows, referred to as “lump sums,” and annuities. Based on your understanding of annuities, answer the following questions. Which of the following statements about annuities are true? Check all that apply. A. A perpetuity is a constant, infinite stream of equal cash flows that can be thought of as an infinite annuity. B. An annuity due is an annuity that makes a payment at the end...

  • The stock price is equal to the present value of all future cash flows from the...

    The stock price is equal to the present value of all future cash flows from the stock discounted at ________________________. In other words, what do we call the rate at which we discount the future dividends?

  • Which of the following affect the interest rate used to discount future cash flows? a. The...

    Which of the following affect the interest rate used to discount future cash flows? a. The degree of impatience or time preference on the part of surplus units b. The returns that deficit units can earn on investment projects c. The interaction of a and b d. All of the above

  • What is an annuity? Select one: a. present worth of a series of equal payments. b....

    What is an annuity? Select one: a. present worth of a series of equal payments. b. a single payment. c. a series of payments that changes by a constant amount from one period to the next. d. a series of equal payments over a sequence of equal periods. e. a series of payments that changes by the same proportion from one period to the next. Question 2 The present worth factor Select one: a. gives the future value equivalent to...

  • Which of the following statements is INCORRECT? A) In general, money today is worth more than...

    Which of the following statements is INCORRECT? A) In general, money today is worth more than money in one year. B) We define the risk-free interest rate, rf for a given period as the interest rate at which money can be borrowed or lent without risk over that period. C) We refer to (1 - rf) as the interest rate factor for risk-free cash flows. D) For most financial decisions, costs and benefits occur at different points in time. Suppose...

  • Q.1) Answer True or false for each of the following statements: (5 Marks ) 1 Future...

    Q.1) Answer True or false for each of the following statements: (5 Marks ) 1 Future Value Interest Factor Annuity (FVIFA) is the future value of $1 ordinary annuity for n period compounded at i percent 2 Given a discount rate of zero percent and n periods of time, the present-value interest factor and future-value interest factor are equal 3 The sales forecast, cash budget, and pro forma financial statements are the key outputs of the short-run (operating) financial planning...

ADVERTISEMENT
Free Homework Help App
Download From Google Play
Scan Your Homework
to Get Instant Free Answers
Need Online Homework Help?
Ask a Question
Get Answers For Free
Most questions answered within 3 hours.
ADVERTISEMENT
ADVERTISEMENT
ADVERTISEMENT