What is the payback period for the following set of cash flows?Year012AWN34Cash Flow-$5,0002,1001,5002,2001,800Multiple ChoiceOO 2.94 yearsO2.77 yearsO2.66 years2.59 years2.64 years

The stream of money that moves inside and out of the company for a period is known as cash flow.…

Answered: What is the payback perlod for the…

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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1. Discounted Payback (DCPB) and IRR analysis. Use the cash flow situation (table below) to answer. a. Determine the DCPB based on a MARR rate of 8.0% b. Determine the IRR Year Cash Flow (in $1000's) 0 1 -5500 +1500 2 +1800 3 +1500 4 +1800 5 6 +1500 +1800 7 +1500
What is the present worth (P) of all the cash flows if F=16000, n=6 years, and i= 8% per year? Select one: O a. $16,480.00 b. $103,824.00 O c. $10,082.71 O d. $34,608.00
What is the most you should pay to receive the following cash flows if your required rate of return is 10 percent? Year 1-3 $5,000 Year 4-6 Year 7-9 Years 10 $46,878.34 O $50,009.84 $40,639.31 $55,687.75 $52,439.73 $47,202.31 $8,000 $12,000 $15,000
What is the payback period for the following set of cash flows? Year Cash Flow 0 -$ 3,000 1 2,400 2 1, 600 3 2,200 4 2,200 A) 1.44 years B)1.32 years C)1.68 years D)2, 200
What is the payback period for the following set of cash flows? Year 0 1234 Cash Flow -$5,300 2,700 1,300 2,000 2,600 O2.67 years O2.78 years O2.65 years O2.60 years O2.95 years 4
Consider the following cash flows: Year 0 1 2 3 4 Cash Flow -$ 8,000 2,250 5,300 2,050 1,750 What is the payback period for the cash flows? Note: Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16. Payback period years M Prev 1 of 5 Next > tubi
9f
nment 4 i es For the cash flow diagram shown, the future worth in year 4 is closest to i=7%/semiannual period 2 3 4 5 470 420 370 Multiple Choice <$2,800. $2.915. 320 $3,735. 3 6 270 220 8 200 Years Semiannual periods
Calculate the equivalent AW at i= 10% per year for the following net cash flow: Year Cash flow, $ -2,000 2. -2,000 3 -2,000 4 5,000 5,000 5,000 Select one: O a. 573.9 O b. 1,431.9 O c. 1,860.9 O d. 1,002.9 O e. 2.289.9
QUESTION 1 For the below Cash Flow, find the total PW value using 10% interest rate years 0 1 2 3 4 5 6 cost $ 2,719 1,000.00 3,010 4,000.00 1,000.00
Consider the following cash flows: Year Cash Flow 0123 $19,400 10,400 9,320 6,900 What is the IRR of the above set of cash flows? (Do not round Intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Internal rate of return 96
Damien offers you a sequence of end-of-year cash flows for an investment as follows: Year 1 2 3 4 4 What is the value of the cash flows if the opportunity cost is 6 percent? (Round to the nearest dollar). Please click on the following link to access a blank worksheet Click to open:: O $8.392 $8.598 Cash Flow $4,000 $3,000 $2,000 $1,000 $8.734 $8.915

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What is the payback perlod for the following set of cash flows? Year Cash Flow -$ 0 5,000 T 1 2,100 2 1,500 3 2,200 1,800 234 Multiple Choice 2.77 years O2.94 years O2.66 years 2.59 years 2.64 years