Use the present value tables in Appendix A and Appendix B to compute the NPV of each of the following cash inflows: Required: a. $22,900 received at the end of 15 years. The discount rate is 8 percent. b. $6,640 received at the end of four years and $16,400 received at the end of eight years. The discount rate is 10 percent. c. $1,680 received annually at the end of each of the next seven years. The discount rate is 7 percent. d. $56,250 received annually at the end of each of the next three years and $74,000 received at the end of the fourth year. The discount rate is 3 percent. Note: For all requirements, round discount factor(s) to 3 decimal places, all other intermediate calculations and final answers to the nearest whole dollar amount. a. Net present value b. Net present value c. Net present value d. Net present value Amount

Use the present value tables in Appendix A and Appendix B to compute the NPV of each of the following cash inflows: Required: a. $22,900 received at the end of 15 years. The discount rate is 8 percent. b. $6,640 received at the end of four years and $16,400 received at the end of eight years. The discount rate is 10 percent. c. $1,680 received annually at the end of each of the next seven years. The discount rate is 7 percent. d. $56,250 received annually at the end of each of the next three years and $74,000 received at the end of the fourth year. The discount rate is 3 percent. Note: For all requirements, round discount factor(s) to 3 decimal places, all other intermediate calculations and final answers to the nearest whole dollar amount. a. Net present value b. Net present value c. Net present value d. Net present value Amount

FINANCIAL ACCOUNTING

10th Edition

ISBN:9781259964947

Author:Libby

Publisher:Libby

Chapter1: Financial Statements And Business Decisions

Section: Chapter Questions

Problem 1Q

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