A seriesof positive future cash flows has a present value of €150 when the cash flows are discountedat a rate of 0,12% per annum compounded monthly. If we discount the same cashflows at 0,12% per annum compounded annually, then the new present value will be

Q: what is the future value of cash flow of ¢2,000.00 for the first month and a monthly rise of 0.1%…

A: 1st deposit =2000 Increase per month = 0.1% = 0.001 Increase Factor(r) = 1+0.001 = 1.001 Number of…

Q: You are evaluating a scenario that involves receiving a series of 50 annual payments , starting two…

A: According to the time value of money, the present worth of future money represents its discounted…

Q: A firm is scheduled to receive payment of $32,000 in 1 year. What is the present value of this…

A: To calculate the present value of payment that will receive after 1 year we will use the below…

Q: How much is the sum of the present value of the expected return over those periods

A: Cash Flows (Year 1-10) (CF) =  $15,000 per year Annual interest rate (r) = 5% Time Period (t) = 10…

Q: A sum of $4 million is equivalent to $4.2 million one year from now at what interest rate?

A: Future value = Present value * (1 +rate )^no. of years

Q: An investment is expected to result in equal payments of $9940.00 at the end of each quarter for the…

A: We need to use the concept of time value of money to solve the question. According to the concept of…

Q: For the given cash flow, if the equivalent uniform annual payments is $2000 and the interest rate is…

A: Uniform annual payment = $2000 i = 4% = 0.04 Period = 9 years Future value of annuity is calculated…

Q: A stream of annual cash flows will begin 10 years from now and end 20 years from now. The initial…

A: Present value is a financial concept that represents the value of a future sum of money in terms of…

Q: annual payment from a cash flow is expected to grow 4% per year from year 1 to year 10, after which…

A: The present value of cash flow would be the equivalent value today that is equivalent to cash flow…

Q: An asset is projected to generate 17 annual cash flows of $36,000 starting 5 years from today. If…

A: Present Value: It represents the current worth of the future expected cash flows. It is computed by…

Q: A certain amount of money after a decade is said to b worth Php 12,000.00. If the interest rate…

A: first calculate the amount after first half present value = FV/(1+rate)n = 12,000/(1 + 1.1%/6)5*6 =…

Q: Using the figure above, calculate the future worth (at the end of year 10) of a cash flow series of…

A: Future Value of annuity due is the annuity in which payment is made at the beginning of the period…

Q: If you are promised $50,000 six years from now, the present worth at a real rate of return of 4% per…

A: The current value of the cash flow or stream of cash flow after discounting is termed as the present…

Q: You invest in a project that generates fixed annual cashflows of $135 for 5 years beginning in 5…

A: In the above question we are required to find out the present value of annuity due.

Q: You will receive $5,000 one year from now, 6000 three years from now, and 7000 five years from now…

A: The PV of an investment refers to the total value of all the future cash flows discounted to the…

Q: Consider the following two cash flow series of payments: Series A is a geometric series increasing…

A: Total amount paid should be equal to the cost. Value of X will be equal to the sum of PV of future…

Q: The present value of $100,000 that are expected at the end of one year, at an interest rate(discount…

A: We need to use present value formula below to calculate present value of expected future…

Q: Dosky expects to receive GHȼ300, GHȼ500, GHȼ1000 and GHȼ1500 in year1,2,3 and 4 respectively. What…

A: Cash flow Year 1 = 300 Cash flow Year 2 = 500 Cash flow Year 3 = 1000 Cash flow Year 4 = 1500…

Q: What is the present value

A: Present Value can be calculated using the following formula: Present Value = Annual cash flow /…

Q: b) Find the present value of the following cash flow: receive S10m now and the same amount a year…

A: The present value of a series of cash flows is the sum of the current values of all the payments…

Q: For a 20-year geometric cash flow progression increasing at 2% per year, the first-year amount is…

A: Present worth is the sum total of present values of all future cash flows. It is calculated as…

Q: An asset is projected to generate 15 annual cash flows of $32,000 starting 6 years from today. If…

A: Present Value:It represents the current worth of the future expected cash flows.It is computed by…

Q: What is the present value of a perpetual stream of cash flows that pays 20,000 at the end of year…

A: In the given case, we have provided the expected cash flows in Year 1, perpetual growth rate and the…

Q: In a series of payments at the end of the period, the first payment is 200 TL, the second payment is…

A: The first payment is 200 TL. The payment decreased by 20 TL. The annual effective interest rate is…

Q: If the present value of a cash flow at an annual rate of interest of 6% is $50000, what is the…

A: We need to use Future Value formula below to calculate yearly cash flows. FV =PV(1+i)n Where FV…

Q: What is the present value of a perpetual stream of cash flows that pays ​$   7,500 at the end of…

A: Year one cash flow = $7500 Growth rate = 0.02 Discount rate = 0.09 Discount rate = 0.07     Present…

Q: 1. This problem relates to Future Value, and Future income streams. Assume continuous compounding of…

A: PRESENT VALUE Present value, also known as present discounted value, is the value of an expected…

Q: Problem 6: Calculate the present values at t = 0 (now) of the following cash flows: a. $100 every…

A: Since you have asked a question with multiple parts and the first 3 parts have been solved, we will…

Q: Draw the cash flow diagram with your solution About how many years will P100,000 earn a compound…

A: Present value (P) = P100,000 Interest amount (I) = P50,000 Interest rate = 9% Quarterly interest (r)…

Q: 3. At a certain interest rate compounded semiannually, P5000 will amount to P20000 after 10 years.…

A: Interest Rate- The costs levied on the borrower for assets borrowed from lenders are referred to as…

Q: An investment makes annual payments. The first payment of $245 is due in one year at i = 1. The…

A: Present value refers to the current worth of the amount that is expected to be received in future by…

Q: hat is the present value of $100 a year from now if the interst rate is 5%?

A: Present Value is the current value of the future sum of money at the specific rate of return.

Q: At present, you invest 10,000 pesos in a 15% security for 5 years. During the time, the average…

A: Future Value refers to the value of the current asset or investment or of cash flows at a specified…

Q: An annual growing perpetuity has a present value of $363,636.36  What is the growth rate (g) of this…

A: The time value of money is considered for determining the cash flows compounded and discounted…

Q: What is the present value of a perpetual stream of cash flows that pays $80,000 at the end of year…

A: Year 1 cash flow (CF1) = $80,000 Growth rate (g) = 0.06 Interest rate (r) = 0.10 Present value = ?

Q: What is the future value factor for a cash flow to be received in seven years, where the interest…

A: Interest rate (r) = 15% Period (n) = 7 Years

Q: An electrical engineer wants to deposit an amount P now such that she can withdraw an equal annual…

A: A1 = 2000 per year N = Time Period = 5 years End of year deposits A2 = 3000 per year Time Period = 3…