Q: Find expected return for G.
A: Expected Return is the amount of loss or profit an investor expects to receive on an investment.
Q: Required: a. Determine the discounted rate of return.
A: Formula: Discount rate= Lower Rate +Lower NPV×Higher Rate-Lower RateLower NPV-Higher NPV
Q: Which are the Methods for Finding Rate of Return?
A: A Rate of Return (ROR) is the gain or loss of an investment over a certain period of time. When the…
Q: Define the term internal rate of return?
A: The internal rate of return (IRR) is a capital budgeting metric used to gauge the benefit of…
Q: Compute the percentage total return. C
A: The method of finding the intrinsic value of the stock of a company is called stock valuation.…
Q: Why is partitioning an internal rate of return important?
A: Introduction: There are two cash flow components which can form the portioning of internal rate of…
Q: Please solve using Rate of Return method.
A: Rate of return is the rate at which return is expected from any investment. This defines the gain or…
Q: Which are the more complex applications of rate-of-return techniques/
A: The question is based on the concept of rate of return and its application in finance
Q: Define return rate
A: The return rate can be calculated on various assets and can be used to compare various investments.…
Q: Explain payback period
A: Answer: Payback period is nothing but the time a company gets back the money that is originally…
Q: Define each of the following terms: d. Modified internal rate of return (MIRR) method
A: Modified Internal Rate of Return (MIRR): The modified internal rate of return (MIRR) method…
Q: Simple Rate of Return
A: Simple rate of return = Net operating income * 100/ Cost of investment
Q: ear. Calculate the rate of return of the investment.
A: Rate of return is the internal rate of return earned. Rate of return = 20.00%
Q: What is the Internal-Rate-of-Return Criterion?
A: Internal rate of return (IRR): The internal rate of return (IRR) is a measure utilized in capital…
Q: what is meant by the required rate of return
A: The return which is expected to be earned by investing in a security is known as Required Rate of…
Q: Define average return
A: The formula to compute average return as follows:
Q: Which different terms are used to refer to rate of return?
A: Rate of return is the return that is expected by the investors from the investment made. It is…
Q: Internal rate of return
A: Internal rate of return- It is the rate of discount at which the sum of discounted cash inflows…
Q: Define payback period.
A: Capital investment analysis: Capital investment analysis is the process of decision making, planning…
Q: Define Expected rate of return
A: Introduction: Usually return is a kind of profit that comes from your investment. Example, an amount…
Q: What is meant by partitioning the internal rate of return? Why is this procedure meaningful?
A: Internal rate of return is defined as the annual rate of earnings on an investment and unlike income…
Q: How can we calculate the Rate-of-Return with Excel?
A: The question is based on the concept of calculation of rate of return (ROR), (ROR) is percentage…
Q: e Internal rate of return
A: The following problem can be solved using XIRR function in excel.
Q: calculate internal rate of return acounting rate of return pay back period
A: Data given: Cost of machine = RM 3,500,000 Useful life of machine = 5 years Residual value = RM…
Q: find the pay-back period with excel.
A: The payback period is the time period in which the cash flows fully covered the initial cash…
Q: Explain four aspects of rate-of-return analysis?
A: The return of return is the return on investment made when the time value cashflows turns to net…
Q: Explain CMO Price Behavior and Prepayment Rates?
A: The question is based on the concept of Collateralized Mortgage Obligations (CMO) , interest rate…
Q: What formula to use to find Payback Period and NPV? (in Excel)
A: NPV or Net Present Value is the present value of all net cash cashflow on a provided discount rate.…
Q: Explain different terms are used to refer to rate of return?
A: Answer: Rate of return is nothing but the returns that are expecting on investments made by…
Q: calculate the internal rate of return
A: Information Provided: Discount rate = 10% Realisable Value = 20%
Q: Explain real rate of return
A: This is the raw rate of return adjusted with inflation. It is used to ascertain the effective return…
Q: What is internal rate of return (IRR) method?
A: NPV shows the excess of PV of all the cash inflows over the initial outlay of the project. It is a…
Q: Define real rate of return.
A: Real Rate of Return is defined as the rate that has been adjusted for rise in prices of commodities.…
Q: Explain expected rate of return
A: Return: Return is defined as the money attained or lost on an investment through certain time…
Q: what is the difference between a required rate of return and an expected rate of return?
A: Rate of return (ROR) is a value at which an investor earns additional amount on invested amount…
Q: /hat is the exact rate of return?
A: MACHINE A PV FACTOR PRESENTVALUE A 0 FIRST COST -8000 8000…
Q: Explain realized rate of return
A: The return generated by an investment is any asset class is the normalized rate of return. When the…
Q: Define realized rate of return
A: Return can be defined as the profit or interest earned by the investor on the investment, which…
Q: What is the machine's payback period?
A: Payback period=Last period with a negative cumulative cash flow+(Absolute value of cumulative cash…
Q: Explain how to calculate net realizable value.
A: Net realizable value refers to the total amount of money which a company will get from selling the…
Q: One of the advantages of Internal Rate of Return is:
A: The correct answer is b. It gives the closet rate of return.
Q: Explain an example how to calculate internal rate of return.
A: IRR is the return actually earned by the investor and discount rate is the return which the investor…
Q: Another term for return is ..................
A: Return means money which is earned or lost in the process of investment. Return can be in the form…
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- 5. LL Consider the following cash flows of a project: Year Year 1. 50 0. 2. 3. 4. 1. Find the internal rate of return for this investment. 0. 20. Multiple Choice < Prev 10 of 15 Next here to search F11 F12 F4 F5 69 81 9F-Calculate the EAR of the following investment, entered as a percentage (Example: if your answer is 0.145, enter 14.5) Year Number Cashflow 0 -11400 1 3500 2 3000 3 3100 4 2800 Your Answer:Hi can you help with this question please? An investment has the following cash flow profile. For each value of MARR below, what is the minimum value of X such that the investment is attractive based on an internal rate of return measure of merit? EOY 0 1 2 3 4 Cash Flow $(30,000.00) $ 6,000.00 $ 13,500.00 $X $ 13,500.00 MARR is 12 percent/year
- 6.Calculate the project's Modified Internal Rate of Return (MIRR). What critical assumption does the MIRR make that differentiates it from the IRR? TIP : look for the definition of Modified Internal Rate of Return, and then do it in excel, easy !!! Year Net Cash flow Future Value of Net Cash flow 0 -$20.8 example 1 $4.5 $7.97 (n=6, i=10%)=fv(.1,6,,4.5) 2 $6.3 (n=5, i=10%) 3 $5.2 (n=4, i=10%) 4 $3.9 (n=3, i=10%) 5 $2.1 (n=2, i=10%) 6 $1.3 (n=1, i=10%) 7 $0.5 (n=0, i=10%) Sum = $XX.XX MIRR = ( in excel ) Rate ( 7,-20.8, xx.xx) 7.Where does the value of MIRR fall relative to the discount rate and IRR?What is the internal rate of return of an investment that requires a 10 percent minimum rate of return and has the following projected cash flows: Yr0 = -100, Yr1 = 25, Yr2 = 35, Yr3 = 45, Yr4 = 35, and Yr5 = 30? a. 19.33 percent b. 21.35 percent c. 20.05 percent d. 22.24 percentYou are considering the following two mutually exclusive investments: Project Year 0 Year 1 Year 2 A -$80 0 $120 B -$40 $28 $28 Which project has the higher NPV if the required rate of return is 5%?
- What is the net present value of an investment that requires a 10 percent minimum rate of return and has the following projected cash flows: Yr0 = -100, Yr1 = 25, Yr2 = 35, Yr3 = 45, Yr4 = 35, and Yr5 = 30? a. 41 b. 28 c. 34 d. 35Consider cash flows Year 0: -6900 Y1: 1700 Y2: 2900 Y3: 2900 Y4: 3500 What is the profitability index for this project if the return is 10%16. You are considering an investment with the following cash flows: Year Cash Flow 0 -$50,000 1 $ 7,000 2 $ 4,000 3 $9,000 4 $61,000 What is the internal rate of return (IRR) for this investment? SHOW WORK
- Calculate the APR of the following investment, entered as a percentage (Example: if your answer is 14.5%, enter 14.5 and not 0.145) Year Number Cashflow 0 -11000 1 3000 2 3500 3 2900 4 2800Calculate the HPR of the following investment, entered as a percentage (Example: if your answer is 14.5%, enter 14.5 and not 0.145) Period Cashflow 0 -14100 1 3300 2 3300 3 3100 4 2800ou invest $1000at time t=0 and an additional $5000 at time t=1/2. At time t=1/2 you have $1300 in your account and at time t=1 you have $6100 in your account. Find the dollar-weighted rate of return rd and the time-weighted rate of return rt on this investment.