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- What amount of cash would result at the end of one year, if $14,000 is invested today and the rate of return is 12%? (PV of $1 and PVA of $1) (Use appropriate factor(s) from the tables provided. Round your answer to the nearest dollar.) Multiple Choice A. $15,680 B. $14,000 C. $15,540 D. $12,320A security has a cost of $1,000 and will return $2,000 after 5 years. What rate of return does the security provide? Show Excel Wizard Formula. Inputs: PV = -1000 FV = 2000 I/YR = ? N = 5 Wizard (Rate):An investment opportunity will pay £100 with a 10% probability, £50 with a 40% probability, or will result in a loss of £20 with a 50% probability. What is the expected value of the investment? £10 £20 £40 -£10 £0
- For investment A, the probability of the return being 20.0% is 0.5, 10.0% is 0.4, and -10.0% is 0.1 Compute the standard deviation for the investment with the given information. (Round your answer to one decimal place.) a. 85.00% b. 15.00% c. 34.00% d. 17.00% e. 9.00%Please do not give solution in image formate thanku An investment generates the following monthly returns: 10.25%, -8.90%, 7.48%, 8.90%, 7.30%, 5.80%. Comparing with a risk-free benchmark rate of 5% for the time period, the investment is successful (i.e., investment return > 5%).Which investment has the least amount of risk? Group of answer choices Standard deviation = $500, expected return = $800 Standard deviation = $400, expected return = $5,000 Standard deviation = $450, expected return = $4,500 Standard deviation = $600, expected return = $400
- What is the net present value of an investment that requires a 10 percent minimum rate of return and has the following projected cash flows: Yr0 = -100, Yr1 = 25, Yr2 = 35, Yr3 = 45, Yr4 = 35, and Yr5 = 30? a. 41 b. 28 c. 34 d. 35Prob. 1. You must choose between the two projects below. What is the EMV for each? Looking at your own personal Risk Utility Function, which project would you select and why? Project 1 has a 70% chance of earning $500,000, and a 30% chance of losing $100,000. Project 2 has a 20% chance of earning $2 million, a 20% chance of earning $1 million, and a 60 percent chance of losing $500,000.Financial asset EGGO requires a $3,000 investment which will return $2,000 twenty percent of the time; $5,000 fifty percent of the time, and $4.500 the rest of the time. Calculate the expected value, the expected return, the variance, and the standard deviation of financial asset EGGO. Show all your calculations.
- Hi can you help with this question please? An investment has the following cash flow profile. For each value of MARR below, what is the minimum value of X such that the investment is attractive based on an internal rate of return measure of merit? EOY 0 1 2 3 4 Cash Flow $(30,000.00) $ 6,000.00 $ 13,500.00 $X $ 13,500.00 MARR is 12 percent/yearConsider the following analysis of two alternatives, X & Y: YR X Y 0 -200 -1000 1 30 250 2 30 250 3 30 250 4 30 250 5 100 400 The MARR is 10%. Calculate the incremental rate of return in percent to the nearest 0.1 percent. Please explain each stepCalculate the APR of the following investment, entered as a percentage (Example: if your answer is 14.5%, enter 14.5 and not 0.145) Year Number Cashflow 0 -11000 1 3000 2 3500 3 2900 4 2800