EXPLAIN the following with the help of one suitable example/scenario.I dont need copy paste answer. 1) SINKING FUND 2) INDEXATION 3) ESCALATION
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- A. Using AW, determine whether this proposal is acceptable. B. What is the ERR of this proposal? Is it acceptable? C. What is the IRR of this proposal? Is it acceptable? Show the cash flow diagram if necessary and complete solution. Do not use excel please. Thank you.Explain the following with one suitable example/scenario. 1) SINKING FUND 2) INDEXATION 3) ESCALATIONnd the present value of the following ordinary annuities. (Notes: If you are using a financial calculator, you can enter the known values and then press the appropriate key to find the unknown variable. Then, without clearing the TVM register, you can "override" the variable that changes by simply entering a new value for it and then pressing the key for the unknown variable to obtain the second answer. This procedure can be used in many situations, to see how changes in input variables affect the output variable. Also, note that you can leave values in the TVM register, switch to Begin Mode, press PV, and find the PV of the annuity due.) Do not round intermediate calculations. Round your answers to the nearest cent. $600 per year for 10 years at 12%. $ $300 per year for 5 years at 6%. $ $600 per year for 5 years at 0%. $ Now rework parts a, b, and c assuming that payments are made at the beginning of each year; that is, they are annuities due. Present value of $600…
- Find the present value of the following ordinary annuities. (Notes: If you are using a financial calculator, you can enter the known values and then press the appropriate key to find the unknown variable. Then, without clearing the TVM register, you can "override" the variable that changes by simply entering a new value for it and then pressing the key for the unknown variable to obtain the second answer. This procedure can be used in many situations, to see how changes in input variables affect the output variable. Also, note that you can leave values in the TVM register, switch to Begin Mode, press PV, and find the PV of the annuity due.) Do not round intermediate calculations. Round your answers to the nearest cent. $400 per year for 10 years at 6%. $ $200 per year for 5 years at 3%. $ $400 per year for 5 years at 0%. $ Now rework parts a, b, and c assuming that payments are made at the beginning of each year; that is, they are annuities due. Present value of $400 per…Find the present value of the following ordinary annuities. (Notes: If you are using a financial calculator, you can enter the known values and then press the appropriate key to find the unknown variable. Then, without clearing the TVM register, you can "override" the variable that changes by simply entering a new value for it and then pressing the key for the unknown variable to obtain the second answer. This procedure can be used in many situations, to see how changes in input variables affect the output variable. Also, note that you can leave values in the TVM register, switch to Begin Mode, press PV, and find the PV of the annuity due.) Do not round intermediate calculations. Round your answers to the nearest cent. Now rework parts a, b, and c assuming that payments are made at the beginning of each year; that is, they are annuities due. Present value of $800 per year for 10 years at 14%: $ Present value of $400 per year for 5 years at 7%: $ Present value of $800 per year for 5…The funds requirement can be forecasted by theforecasted financial statement approach, but youcould also use the AFN formula. What is thisformula, and how does it work? What are itsadvantages and disadvantages relative to thefinancial statement method?
- Answered with short words. Please be specific: What are the limitations/problems from classifying performance using raw returns? and, What are the limitations of using Sharpe Ratio to classify fund performance?Discuss the Cost of capital approach? No copy paste answer pleaseWhat is a benchmark and why is there a need to compare the fund's return vis-a-vis a benchmark?
- Calculate: Funds management efficiency Operating efficiency ratio What strengths and weaknesses are you able to detect in SME’s performance?Use both the TVM equations and a financial calculator to find the following values. (Hint: If you are using a financial calculator, you can enter the known values and then press the appropriate key to find the unknown variable. Then, without clearing the TVM register, you can "override" the variable that changes by simply entering a new value for it and then pressing the key for the unknown variable to obtain the second answer. This procedure can be used in parts b and d, and in many other situations, to see how changes in input variables affect the output variable.) Do not round intermediate calculations. Round your answers to the nearest cent. An initial $300 compounded for 10 years at 4%. $ An initial $300 compounded for 10 years at 8%. $ The present value of $300 due in 10 years at a 4% discount rate. $ The present value of $300 due in 10 years at an 8% discount rate. $Question With the ad of a diagram for the loanable funds market, briefly discuss the crowding-out afted of an incingement spending financed by swing beds (YOU DO NOT HAVE TO DRAW THE DIAGRAM BECAUSE IT IS NOT EASY TO DRAW ON