3. Refer to the following table of cash flows: End of Year (EOY) Cash Flow 8 12 16 P5,000 P5,000 P5,000 P5,000 P5,000 What is the annual worth of these cash flows over 16 years when i = 5% per year?

Q: What is the present value of the following cash flow at a 12% discount rate?…

A: Present value is calculated using the discounting factor of Rate @ 12%

Q: 10. The appropriate discount rate for the following cash is 10% per year: Year flows 2 तत 3 Cash…

A: The future worth of the current amount can be computed after adding up the product of the FVIF for…

Q: For the cash flows below, determine the amount in year 1, if the annual worth in years 1 through 9…

A: Annual Worth :— The annual worth is the net of all the benefits and costs incurred over a one-year…

Q: For the cash flow revenues shown below, find the value of G that makes the equivalent annual worth…

A: The present value refers to the discounted value of the future cash flows. Discounting is done till…

Q: Calculate the value of the cash flows at time 6. The interest rate is 11.76%. 1 $1,136 $2,107 $3,096

A: The value of cash flows is calculated as sum of future value of cash flows at the end of year 6

Q: How did they calculate the present value?

A: The current value of the cash flow or stream of cash flow after discounting is termed as the present…

Q: What is the future value at the end of year three of the following set of cash flows at an interest…

A: Given: Year Cash flows 1 $150 2 $300 3 $500

Q: =NPV(B26,I27:R27)-B24 B26 = discount rate of 9% B24 = initial investment of $30m I27:R27 = yearly…

A: NPV represents the absolute profitability measure of the project and is applied by financial…

Q: What is the net present value of the following set of cash flows at a discount rate of 5 percent? at…

A: Net Present Value(NPV) is excess of PV of inflows over PV of outflows that is computed by…

Q: The amount in year 1 is $

A: Annual Worth Net of all the benefits and costs incurred over a one-year period is called annual…

Q: For the cash flows shown in the diagram, determine the value of x that will make the future worth in…

A: Future value of Annuity formula is    Future value of first 5 years of Annuity x , at end of 5…

Q: Need Correct Answer ppls

A: Present value (PV) is a financial concept that represents the current worth of a future sum of money…

Q: $27,300.00

A:

Q: Given the following cash flows, what is the future value at year ten when compounded at an interest…

A: Future Value is the value of current investments at a certain future date at the assumed…

Q: At a rate of 6.5%, what is the future value of the following cash flow stream? $526.01 $553.69…

A: Future value, which is dependent on the assumption of compound interest or investment growth, is the…

Q: For the following cash flow, calculate the equivalent PW. Assume i % 8% per year. Cash Inflow, $…

A: Equivalent PW stands for Equivalent Present Worth which is used to compare different investment…

Q: 4-49. Consider the accompanying cash-flow diagram. (See Figure P4-49.) a. If P = $1,000, A = $200,…

A: A.  Investment = 1000 A = 200 Interest = 12% N = ?   B.  Investment = 1000 A = 200 Interest = ? N =…

Q: What is the future value at the end of year three of the following set of cash flows at an interest…

A: Future Value = Present value * ( 1 + Interest rate)time period

Q: Question 7: For the cash flows below, find the value of x that makes the equivalent annual worth in…

A: Equivalent annual worth is the annual cost of owning, operating, and maintaining an asset over its…

Q: what is the future value of this cash flow at 3%​, 11%​, and 18​% interest rates at the end of…

A: Future value refers to the future value of a current asset based on a certain rate of interest. It…

Q: In the following cash flows diagram, Determine the Future Worth at the end of year 12 f the interest…

A: Future value = cashflow *(1+rate)^years

Present Value

Present value (PV) is defined as the current or present value of all future sums of cash flow or money at a specified rate of return. This rate of return is known as the discounted rate, which is essentially the interest rate, discounted over some time. The expected cash flows are discounted at a discount rate to compute the present value. The higher the discount rate, the higher the future value (FV), but the lower the present value.