Calculate the present worth of a geometric gradient series with a cash flow of 60,000 pesos in year 1 and increases of 7% each year through year 9. The interest rate is 12% per year

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: Find the present worth of all the cash disbursements using gradient interest formulas if money is…

A: First payment=P5000Gradient=P1000Number of payments=4Interest rate=15%

Q: The present worth of a decreasing geometric series is 96157$. The interest rate is 8% per year and…

A: Annuity refers to series of equalized payments that are paid or received at start or ending of…

Q: determine the equivalent a. present worth at the beginning of the first year and b. uniform annual…

A: Net Present Value: It is the present worth of the annual cash flows and the initial cost of the…

Q: Determine the present value in year zero of a gradient series that begins with a cash flow of $7,000…

A: Interest rate = 8% Cash flow in year 5 = $7000 Annual increase in cash flow = 8%

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: For the cash flows below determine the amount in  year 1, if the annual worth in years 1 through 9…

A: Annual Cash flow (CF) = $3500 Interest rate (r) = 0.10 Period (n) = 9 Years Amount in year 1 (P1) =…

Q: Consider the following three cash flow series: Determine the values of X and Y so that all three…

A: Cash flow for the series is computed using excel: Result is:

Q: You have cash flows of $100 at the end of year 1, $200 at the end of years 2 and 3, and $300 at the…

A: The problem requires the determination of the present value of the cash flows using discounting and…

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: What is the future value of a stream of receipts that is $1,000 in year 1 and which increases by 4%…

A: The future value of this stream of receipts can be calculated using the future value of an annuity…

Q: What uniform annual series of cash flows over a 12-year period is equivalent to an investment of…

A: Years (t)Cash…

Q: A principal of 2450 Rials is invested at rate 5.25% compounded quarterly. After how many years the…

A: The time period or the number of years (NPER) refers to the time it would require for the investment…

Q: worth of a ten year geometric gradient series of cash flows was found to be $100,000. If the…

A: Future value of growing annuity can be found out from the growth rate and interest rate and period…

Q: A set of cash flows begins at $66660 the first year, with an increase of 10% per year for 9 years.…

A: The present value of cash inflows refers to the current value of future cash inflows that are…

Q: sh of Php 50,000 invested today will realized an annual cash returns for five (5) years at 8% rate…

A: The given problem can be solved using PMT function in excel. PMT function computes savings/…

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

A: Future Value = 12,000 PHP 1 USD = 49 PHP Future Value in USD = 12,000 / 49 = 244.90 USD N = 10 years…

Q: Construct a cash flow diagram that represents the amount of money that will be accumulated in 1 year…

A: Initial Investment is 6% The time period is 1 year The interest rate is 6% per year compounded…

Q: What is the present value of a stream of $800 cash payments, each to be made at the end of the next…

A: Given:

Q: What is the present value of 24 monthly cashflows of $420 each starting today if the interest rate…

A: Using excel PV function, This is question of annuity due since cashflow starting today

Q: Consider an EOY geometric gradient, which lasts for eight years, whose initial value at EDY one is…

A: Here, Initial Value of cash flow of first case is $5188 Geometric gradient interest rate is 6% Cash…

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: 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: Find the annual worth in years 1 through 10 of an investment that starts at $8000 in year 1 and…

A: PV of single growing cashflow = (C(1+g)n)/(1+r)n Where C = cashflows = $8000 r = interest rate = 10%…

Q: Order the present values of these three cash flow with highest PV on top, middle PV in the middle,…

A: Present value factor is computed as follows:-present value factor = wherer= interest rate n= time…

Q: An investment of P40,000 has a revenue of X pesos at the end of the first and second year. Given a…

A: When net present worth is zero that means present value of cash flow is equal to initial investment…

Q: Consider a cash flow that lasts for ten years. the initial value A occurs at the third year,…

A: Present Value of series = 34,717 Interest Rate = 8% Annual Growth Rate = -6% Cash flows start at end…

Q: annual cash flow f

A: Annual cash flows refer to the income of the company before deducting any interest, taxes,…

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: The cash flow associated with a stripper oil well is expected to be $4,000 in month one, $3,925 in…

A: Cash flow is referred as the movement of the funds that are in and out of the corporation. Funds…

Q: find the present value of a stream of payments that begin in year one at $3000 and increase by 10%…

A: A series of fixed payments that are paid or received at an equal time interval is term as the…

Q: If P5,000 shall accumulate for 10 years at 4% compounded quarterly, find the compounded interest at…

A: To find the compounded interest at the end of 10 years we will use future value from excel and then…

Q: Assume that the interest rate is 8.5% per year and you expect to receive the following stream of…

A: Net present value is a capital budgeting techniques help in decision making on the basis of future…

Q: Consider an EOY geometric sequence of cash flows in which the first payment made was P2,000. This is…

A: Annuity refers to a constant stream of payments made at regular intervals for a defined period. The…

Q: A company expects to receive the following cash flows $2,000 for the first ten years and then $3,000…

A: Present value refers to the current valuation for a future sum. Investors determine the present…

Q: Determine the present worth of the following cash flows based on an interest rate of 7.46% per year,…

A: ANSWER COMPUTATION OF PRESENT WORTH OF CASH FLOW END OF YEAR  FUTURE CASH FLOW(1) PRESENT…

Q: Suppose an investment costing $15,600 generates semi-annual cash flows growing at 2% indefinitely.…

A: According to general finance rules, the initial cost of an investment is the present value of future…

Q: Find the present worth of an investment that starts at $8000 in year 1 and increases by 10% each…

A: Time value It tells that value received today has more value than that of receiving the same value…

Production Budget

A budget can be defined as a financial plan designed by an undertaking for a definite period in the future that can contribute towards enhancing the financial success of the business undertaking. It is used to estimate the revenue and expenses. The budget generally takes into account both current and future income and expenses.