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A cash flow starts in year 1 at 5000 and increases by 500 each year through year 7. Determine the cash flow in year 5.
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- Given the following cash flows in table below, determine the rate of return to the nearest second decimal place. Year 0 1 thru 3 4 thru 5 6 thru 10 Cash flow -23K 2K 3K 4K$100 is received at the beginning of year 1, $200 is received at the beginning of year 2, and $300 is received at the beginning of year 3. If these cash flows are deposited at 12 percent, find their combined future value at the end of year 3.Construct a cash flow diagram to find the presentworth in year 0 of a $400 expenditure in year 3, a$900 receipt in year 4, and $100 expenses in eachof years 5 and 6 at an interest rate of 15% per year.
- What is the payback period (in annual terms) of the following cashflow stream? Year 1: $-986 Year 4: $362 Year 9: $901 Year 13: $-42 Year 15: $808 Year 19: $-951 4A series of cash flows are established on an account as listed below. Payment of P5,854 at the end of the 3rd, 5th, 7th and 8th year at an interest rate of 8.95%compounded monthly . Withdrawal of P4,736 at the end of 5th, and 8th year at an interest rate of 8.36% compounded semi-annually. What is the net present worth of all the obligationsA person deposits $2,000 in an account each year for five years (starting at the end of year one). At the end of the fifth year, one-half of the account balance is withdrawn; $4,000 is deposited annually for five more years (starting in the 6th year), with the total balance withdrawn at the end of the fifteenth year. There are no additional payments in years 11-15. a. Choose the correct cash flow diagram. b. If the account earns interest at the rate of 3% per year, how much is withdrawn at the end of five years? c. If the account continues to earn interest at the rate of 3% per year, how much is withdrawn at the end of 15 years? Click the icon to view the interest and annuity table for discrete compounding when i = 3% per year. O C. F5/2 2 3 4 5 2K 2K 2K 2K 2K 4K 4K 4K 4K 4K 6 7 8 9 8 9 10 11 12 13 14 15 F6/2 3 4 56 2K 2K 2K 2K 2K 7 F15 4K 4K 4K 4K 4K F15 8 9 10 11 12 13 14 15 Q Q O D. F5/5 2 3 4 5 2K 2K 2K 2K 2K 2K 2K 2K 2K 2K 1 2 3 4 6 7 8 9 10 11 12 13 14 15 4K 4K 4K 4K 4K 4K 4K 4K…
- For the cash flows below determine the amount in year 1, if the annual worth in years 1 through 9 is $3500 and the interest rate is 10% per yearWhat is the payback period for the following set of cash flows? (Round your answer to 2 decimal places, e.g., 32.16.) Cash Year Flow $5,500 1 1,275 1,475 1,875 1,375 3 4 Payback period yearsPlease write down the DCF formula for a series of cash flows over 5 years.
- 4. The amount of P50,000 was deposited in the bank earning an interest of 7.5% compounded semi-annually. Determine the total amount at the end of 5 years. Draw a cash flow diagram.Assume that you are looking at three perpetuities. Perpetuity 1 (P₁) has annual cash flows of $850 in Years 1 through infinity (1-x) and a present value at Year 0 of $10.119.047619. Perpetuity 2 (P₂) has annual cash flows of $620 in Years 11 through infinity (11 - oo) and the same effective rate as Perpetuity 1. Perpetuity 3 (P3) has annual cash flows of $780 in Years 25 though infinity (25 - 0) and the same effective rate as Perpetuities 1 and 2. Given this information, determine the value of all three perpetuities when evaluated at Year 35. $239.599.69 O $248,272.58 $245,381.62 O$242,490.65 O $254,054.51You have cash flows of $100 at the end of year 1, $200 at the end of years 2 and 3, and $300 at the end of years 4 and 5. Assume the interest rate is 10% for all periods. What is the present value of all five cash flows at the end of year 3?