A property gets following Cash flows: NO, 5th year is constant with 2% the r = 12%. = 100,000 growing by 3% first year, 4% Second year, third year and 4 th year.
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- The cost is $2,000 in year 1 and amounts increasing by 7% per year through year 10. Use an interest rate of (your ID)% per year. 13 1. Find the present worth. 2. Draw the cash flow diagram. 3. Convert the cash flow into an A value.An investment in Machinery will yield annual cash earnings of P 12,000. The investment can be recovered in 4 years. the life is 10 years. How much is the annual net income of the investment?a.7,200b.12,000c.16,800d.19,200Consider the following data showing the cash flows per year from a real estate property: Year: 1 2 3 4 5 Cash Flow: $21,000 $22,000 $23,000 $24,000 $25,000 After the 5th year, cash flows are expected to rise at a constant rate of 2.5% per year for the many years in the future. Your cost of money (interest paid on the loan) is 5.5% per year. A. Calculate the appraisal value of the house. B. Define and calculate the cap rate. Explain what it means. (Answer with respect to Excel for both)
- In the given cash flow diagram : i) Calculate the equivalent amount of P. ii) Calculate the single payment amount equivalent to F at the end of the 5th year. iii) Calculate the equal payout amount from year n = 1 to n = 5, which is worth A. '3 aylık bileşik X%' means 3 months X% resultant interest. -The timescale of the cash flow diagram is based on years.-Suppose the MARR is 5%. Use the following table to answer the question--The IRR on the incremental cash flow is CMS Initial Investment Annual Revenue Useful Life (Years) A 15.0 % -16.0% OB. 17.0 % -18.0% OC.1.0% -2.0% OD. 10.0 % -11.0% E. 21.0%-22.0% $31,000 $38,000 6,688 FMS 5 9,102Find the present worth in year O for the cash flows shown. Let -13% per year. 8 Year 50 70 90 110 130 150 170 200 The present worth is determined to be $
- Compute the value at the end of the 8th year for the cash flow diagram shown below if i=4% 3) per year, compounded annually. What is the value of this cash flow system at the end of year 2? Confirm your calculations using more than approach. 4 5 6. + $1,000 $1,500 $2,000 $2,500 $3,000 3.A property gets following Cash flows: NO = 100,000 growing by 3% first I 1 year, 4% Second year, third year and 4th year. 5th year is constant with 2% the r = 12%.Consider the following cash flows. The interest rate is 10%. What is the total wealth after 2 years if you sell the rights to the remaining cash flows? Year 0 1 2 3 4 Cash flow 100 200 300 400
- Consider another set of net cash flows: Year Cash flow 0 1,000 1 1,000 2 0 3 1,500 4 2,000 5 3,500 What is the net present value of the stream if the opportunity cost of capital is 10 percent? a. What is the value of the stream at the end of year 5 if the cash flows are invested in an account that pays 10 percent annually? 2. What cash flows today (time 0), in lieu of the 1,000 cash flow, would be needed to accumulate $10,000 at the end of year 5? (Assume that the cash flows for years 1 through 5 remain the same.)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. $34,608.00Find the value of X that makes the following cash flows economically equivalent at 6%: Cash Flow #1: $200 at t=2, $300 at t=3, $400 at t=4, increasing by $100 per year up to and including $1000 at t=10 Cash Flow #2: $X from t=1 up to and including t=6, nothing at t=7, and then $X again from t=8 up to and including t=10 The solution is within $15 of which of the following? options: 538 568 598 628 None of the above