P = 1000 * (P/A, 4%, 5) + 500 * (P/G, 4%,5)
= 1000 * 4.451822 + 500 * 8.554670
= 8729.16
Calculate the present worth of the following cash flow: 4% per year 2 1000 $1,500 $2,000 $2,500 $3,000
Calculate the present worth of a 25-year geometric cash flow progression, where the cash flow value increases at a rate of 4% per year. Assume the value in the first year is $2,500 and the hurdle rate is 10% per year. Express your answer in terms of dollars, rounded to the nearest dollar (e.g., 1234).
1. Calculate the total present worth of the following series of cash flows at i=18% per year. | | | | | | | Year | Cash Flow, $ 0 460 1 460 2 460 3 460 4 460 5 460 6 460 7 -5000
Find the present worth of $4000 the first year, increasing by $1000 per year. The interest rate is 8%, and n equals 5. Draw a cash flow diagram and show your work. A lottery pays the winner $1 million, in 20 equal payments of $50,000. The payments are received at the end of the year, and the winner's interest rate is 12%. What is the present worth of the winnings?
1.24 Construct a cash flow diagram to find the present worth in year 0 at an interest rate of 15% per year for the following situation. Year 0 1-4 bn Cash Flow, $ 19,000 +8,100
14. The following table shows the cash flow for the costs of the Self Performing Contractor and estimates for revenues from a residential project. (in x1000 TL) a) Calculate the Net Cash Flow and the Cumulative Cash Flow for the project (2 points) b) What is the payback period for the project? (2 points) c) What is the Net Present Value (NPV) of the project to the Self Performing Contractor, if the discount rate is i=7% (3 points). d) Would...
Find the IRR of the following cash flows: Year Cash Flow 0 $-2,500 1 $1,100 2 $2,500 3 $1,000 4 $3,000 Enter your answer as a percentage rounded to two decimal places (e.g., 5.64%).
The cash flow in year 1 is $2,000. Starting year 2, the cash flow will grow at X% per year forever. The initial cost is $6,000. The required return is 16%. The net present value of this project is $10,000. What does X need to be?
Use Excel to calculate the expected present value of the
following cash flows using a 5% discount rate? Be prepared to
explain how you calculated your answer.
Year 1 Cash Flow Estimates $ 1,500 $ 2,000 $ 2,500 Probabiltiy of Estimate 10% 50% 40% Total Year 2 $ $ $ 3,300 3,600 4,000 15% 40% 45%
Marcia observed the following cash flow series (in $1000 units) in an accounting report at work. The actual amounts in years 1 and 4 are missing; however, the report states that the present worth in year 0 was $360,000 at an interest rate of 8% per year. Calculate the value of x. 1 4 Year | Cash flow, $x1000 0 40x 2 40 3 40x 5 40 6 40 The value of x is determined to be $ | C...
Find the present worth for the Cash Flow Diagram (CFD) shown below at an * interest rate of 10% per year G=$1,000 $3,000 - - 1 0 1 2 3 4 5 6 7 8 9 10 year 28,048.12 O 31,117.87 O 25,694.34 O 29,169.35 O 25,048.12 O