Find the present value of a continuous stream of income over 2 years when the rate of income is constant at $35,000
per year and the interest rate is 4%.
Find the present value of a continuous stream of income over 2 years when the rate of income is constant at $35,000 per year and the interest rate is 4%.
(b) A continuous stream of income is being produced at the rate of 100t + 5000 dollars per year at time t, and the interest rate is 5%. Find the present value of the income generated during the next 5 years.
PART 1: Find the present value for the following income stream if the interest rate is 7% percent and the payments occur at the end of each year. Cash flow for years 1-4: $750, years 5-11: $800, years 12-17: $1,100 A. $4,767 B. $8,321 C. $6,328 D. $5,189 PART 2: How long will it take a sum of money to double in value if the annual interest rate is 10 percent? Round answer to one decimal. A. 20.0 years B....
The income from an established chain of laundromats is a continuous stream with its annual rate of flow at time t given by f(t) = 120,000 (dollars per year). If money is worth 3% compounded continuously, find the present value and future value of this chain over the next 5 years. (Round your answers to the nearest dollar.) present value $ future value $
The future value at 5.5% Interest, compounded continuously for 7 years of the continuous income stream with rate of flow f(t) = 2.250 -0.021 is $18,008. Compute the interest earned Type an integer or a decimal)
Show that the present value of a continuous income flow lasting for N years at the constant rate of Y dollars and discounted at the rate of r per year is: -(1-e*). Cind the following intervale.
At a constant interest rate of 15%, compounded annually, what is the present value of an income stream paying $50 next quarter and growing at 2% per quarter until the end of the third year? From that point on it grows at 1% per quarter indefinitely.
An perpetuity has continuous payments at a rate of 800 per year. Find the present value of this perpetuity using a nominal rate of interest of 9% compounded continuously. Round your answer to two decimal places.
Suppose that a printing firm considers its production as a continuous income stream. If the annual rate of flow at time t is given by f(t) = 93.9e−0.8(t + 3) in thousands of dollars per year, and if money is worth 6% compounded continuously, find the present value and future value (in dollars) of the presses over the next 10 years. (Round your answers to the nearest dollar.) present value$ future value$
An heiress receives an income stream from a will at a rate of f(t) = 20,000e0.026t dollars per year. She invests this income and earns 4.6% interest (compounded continuously). (Round your answers to two decimal places.) (a) What is the future value of the income after ten years? (b) Compute the present value of the income over a ten year period. $ 181269 x Need Help?
Present Value using a 6% rate of Interest: Calculate the value of this income stream. Remember to total your numbers. n Income 1 $2000 2 $2000 3 $2000 4 $2000 a. PV of an ordinary annuity: b. PV of an annuity due: