What is the present value of the following set of cash flows, discounted at 15.7% per year?Year1234CF$95- $95$197- $197The present value of the cash flow stream is S(Round to the nearest cent.)

Present value is calculated by discounting the future cash flow at the given discount rate.…

Answered: What is the present value of 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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Similar questions

What is the future value at the end of year three of the following set of cash flows at an interest rate of 10% p.a. compounded annually? End of Year 1 $5,100 End of Year 2 $2,300 End of Year 3 $1,150 Select one: a. $8,550 b. $9,966 c. $9,851 d. $9,581
Consider the following cash flows: Year 01234 Cash Flow -$5,100 1,500 2,600 1,300 1,000 What is the payback period for the cash flows? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Payback period years
8. Calculating IRR What is the IRR of the following set of cash flows? LO 3 Year Cash Flow -$19,400 1 10,400 9,320 6,900
In the following cash flows diagram, Determine the Future Worth at the end of year 12 if the interest rate is 6% ? $200 $200 $150 $150 $100 $100 1 2 3 4 5 Years a. $1.445.8 Ob. $1364 Oc $1.532.6 Od. $1.286.8
Can you please confirm my calculations: discount rate is 6%; end of year cash flows are as follows: Year 0: -20,000; year 1 through 5 are each 5,000; is the net present value of all cash flows 1061.82? and how do you calculate "at what discount rate is the net present value "0"?
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The appropriate discount rate for the following cash flows is 7 percent compounded quarterly. Year Cash Flow 1 $ 700 2 800 3 0 4 1,100 What is the present value of the cash flows? Multiple Choice $2,139.12 $ 815.18 $2,192.14 $2,182.78 $2,226.43
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What is the present value of the following set of cash flows, discounted at 15.7% per year? Year 1 4 CF $95 - $95 $197 - $197 The present value of the cash flow stream is S (Round to the nearest cent.)