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A: Computation:
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A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
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A: Present value is a concept that is used to calculate the current value of a future amount of money…
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A: Present value is the current worth of the future cash flows at a given interest rate.
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A: The present value is the value of the sum received at time 0 or the current period. It is the value…
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A:
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A: To open the "PV function" window - MS-Excel --> Formulas --> Financials --> PV.
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A: Since you have asked multiple questions, we will solve the first question for you. Please ask…
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A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
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A: A diagrammatic representation of cashflows over a period of time is called cash flow diagram. Given…
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- Use the following time value of money tables for Questions 1-4. Round answers to the nearest dollar. (The annual interest rate for all problems is 6%.) n = 3; i = 6% n = 6; i = 3% Future value of 1 1.19102 1.19405 Present value of 1 .83962 .83748 Future value of an annuity 3.18360 6.46841 Present value of an annuity 2.67301 5.41719 Redlands Inc. deposited $3,000 into a savings account on January 1, 2020. The account earns annual interest. The amount in the savings account on December 31, 2022 is $Answer.Use the following time value of money tables for Questions 1-4. Round answers to the nearest dollar. (The annual interest rate for all problems is 6%.) n = 3; i = 6% n = 6; i = 3% Future value of 1 1.19102 1.19405 Present value of 1 .83962 .83748 Future value of an annuity 3.18360 6.46841 Present value of an annuity 2.67301 5.41719 Redlands Inc. makes semiannual deposits of $2,000 each June 30 and December 31 each year, beginning in 2020. The amount of money Redlands will have on December 31, 2022 immediately after the sixth and final deposit is $Use the following time value of money tables for Questions 1-4. Round answers to the nearest dollar. (The annual interest rate for all problems is 6%.) n = 3; i = 6% n = 6; i = 3% Future value of 1 1.19102 1.19405 Present value of 1 .83962 .83748 Future value of an annuity 3.18360 6.46841 Present value of an annuity 2.67301 5.41719 Redlands Inc. wishes to make a series of $1,000 cash withdrawals semiannually, beginning on June 30, 2020. Redlands plans to make its sixth and final withdrawal on December 31, 2022. The amount of money Redlands must place into a savings account to meet this objective on January 1, 2020 is $
- 4. At 4.3 percent interest, how long does it take to double your money? To quadruple it? SHOW WORK AND FORMULA Present value $1 Interest rate 4.30% Future value $2 Future value $4 (Use cells A6 to B9 from the given information to complete this question.) Periods to double Periods to quadrupleSuppose you are offered $7,100 today but must make the following payments: 1 2 Cash Flows ($) O $7,100 1-3,800 2-2,500 3 -1,600 4 -1,400 Year 4 6. 7 9. 10 11 What is the IRR of this offer? (Do not round intermediate calculations. Enter your ans 12 a. 13 14 15 16 17 b. If the appropriate discount rate is 10 percent, should you accept this offer? 18 19 multiple choice 1 20 21 Reject Ассept 22 23 24 25 C. If the appropriate discount rate is 19 percent, should you accept this offer? 26 27 multiple choice 2 28 29 Аcсept Reject 30 31 32 33 What is the NPV of the offer if the appropriate discount rate is 10 percent? (A negative ar What is the NPV of the offer if the appropriate discount rate is 19 percent? (A negative ar 34 d-1. 35 d-2. 364. Find the interest rate implied by the following combinations of present and future values: (Round your answer to the nearest whole value.) Present Value Years Future Value Intrest rate A. $400 11 $684 B. $183 4 $249 C. $300 7 $300
- 5. You decide to invest $100 into a savings account with an interest rate of 2% annually in2015. The amount of money in your savings account in a given year can be modeled by the following function. P(t)=100(10)^.009 a. Evaluate P(0) and explain what it means in this context. b. Approximately how many years will it take for the amount of money in your bank account to reach $120? c. What year will you have $120 in your savings account?What is the equivalent uniform annual payment for the following cash flows if the interest rate is 10%? Populate the following table and compute the equivalent uniform annual payment. Show all work and provide an explanation. Do not use Excel. [Hint: This problem is a mix of annuity, gradient, and a single future cash flows.] ΕΟΥ Cash Flows Annuity Gradient Future 1 $2,000 2 $3,000 $4,000 $5,000 $6,000 $7,000 $8,000 $9,000 $10,000 $14,000 IN 3 st 4 5 6 7. 8 9 10A certain some of money P draws interest compounded continuously. If a certain time there are Po dollars in the account, determine the time when the financial attains the value of 2Po dollars if the annual interest rate at 2%
- 14) Consider the following cash flows. The interest rate is 8%. What is the duration (hint: you need PV)? Year 0 1 2 3 4 Cash flow 150 120 100 200Q)You are given the future value of an annuity, A, the monthly payment, R, and the annual interest rate, r. Find the number of monthly payments, n. Round your answer to the nearest whole number if necessary.A = $4000; R = $70; r = 7% Solve it correctly not use excelApply the concepts from page 8-6 of the VLN, which cash flow is an annuity? A) $60 $70 $60 $50 $60 $50 $70 $70 $60 $50 B) $60 $60 $60 $60 $60 $60 $60 $60 $60 $60 C) $60 $60 $60 $60 $60 D) $60 O A, B, and C O B and C O A only O D only O B only