At a certain discount rate the present values of the following cash fows are equal: (a) 808 at the end of 4 (b) 426 at the end of 4 years plus 1000 at the end of 8 years At the same discount rate, find the net present value of 100 deposited now, 200 deposited in 4 years and a withdrawal of 128 at the end of 8 years. A The answer does not appear here B.819.94 OC 157.72 D. 195.08 E1090 84

At a certain discount rate the present values of the following cash fows are equal: (a) 808 at the end of 4 (b) 426 at the end of 4 years plus 1000 at the end of 8 years At the same discount rate, find the net present value of 100 deposited now, 200 deposited in 4 years and a withdrawal of 128 at the end of 8 years. A The answer does not appear here B.819.94 OC 157.72 D. 195.08 E1090 84

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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H5.
What is the future value at the end of year 3 of the following set of cash flows if the interest rate is 8%? (the cash flows occur at the end of each period) (round answer to nearest penny and enter in the following format 12345.67) Year 0 cash flow = 2000 Year 1 cash flow = 1700 Year 2 cash flow = 700 Year 3 cash flow = 900 Answer: کے
8. 6. 10 0. EOY 3. 20 21 22 23 24 26 27 28 29 30 CF $300 ? A deposit was made at the EOY 2021, as shown in the CF table above. Five equal withdrawals are to be made, starting at the EOY 26, that will deplete the account. If the interest rate is 6% compounded annually, what is the amount of these future withdrawals? 25
Note:- Do not provide handwritten solution. Maintain accuracy and quality in your answer. Take care of plagiarism. Answer completely. You will get up vote for sure.
What is the future value in year 5 of the following cash flows given a discount rate of 9%? Year 2 4 5 Cash Flow $862 $669 $905 (Do not include the dollar sign ($). Enter rounded answer as directed, but do not use the rounded numbers in intermediate calculations. Round your answer to 2 decimal places (e.g., 32.16).)
The duration of the assets to four decimal places:Cash: 0.0000 yearsLoans: 1.7500 yearsTreasuries: 7.0000 years The duration of the liabilities to four decimal places:Time Deposits: 1.7500 yearsCDs: 2.5000 yearsEquity: Not provided If all interest rates decline 90 basis points (ΔR/(1 + R) = -90 basis points), the change in the market value of equity can be calculated as follows:
Uneven Cash Flow Stream Year Cash Stream A Cash Stream B 1 $100 $300 2 400 400 3 400 400 4 400 400 5 300 100 What is the value of each cash flow stream at a 0% interest rate? Round your answers to the nearest cent.Stream A $ _______Stream B $ _______
The appropriate discount rate for the following cash flows is 7.58 percent per year: Year 1 2 3 4 Cash Flow $2,520 $0 $3,960 $2,210 What is the present value of the cash flows as of Year O? $7,025.36 $7,537.38 $6,941.87 $7,321.33 $7,172.91
2. Using ONLY the 1% compound interest table (without interpolation) calculate the future value of this series of Annuities. No formula allowed. [hint-Use equivalence to move the cash] 500 0 1 A = 500 i = 1% F= ? 500 180
Please answer this question: What is the value at the end of Year 3 of the following cash flow stream if interest is 4% compounded semiannually? (Hint: you can use the EAR and treat the cash flows as an ordinary annuity or use the periodic rate and compound the cash flows individually.) What is the PV? What would be wrong with your answer to parts I(1) and I(2) if you used the nominal rate, 4%, rather than the EAR or the periodic rate, I sow /2=4%/2=2%, to solve the problems?

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