Compute for the following. Given the uneven streams of cash flows shown in the following table,answers parts A & B:Cash Flow StreamEnd of YearABPhp 50,000 Php 10,0001240,00020,00030,00030,000420,00040,00010,00050,000Undiscounted Php 150,000 Php 150,000Totala. Find the present value of each stream, using a 15 percent discount rateSTREAM ASTREAM BYear (t)CF: x (1+15%).tPresent Value (PV)Year (t)CF: x (1+15%).tPresent Value (PV)50,000 x .869565PHP 43,478.26110,000 x .869565PHP 8,695.65240,000 x .756144PHP 30,245.75220,000 x .756144PHP 15,122.87330,000 x .657516PHP 19,725.49330,000 x .657516PHP 19,725.49420,000 x .571753PHP 11,435.06440,000 x .571753PHP 22,870.13510,000 x .497177PHP 4,971.7750,000 x .497177PHP 24,858.84ТОTALPHP 109,856.33TОTALPHP 91,272.98b. Compare the calculated present values, and discuss them in the light of the fact that theundiscounted total cash flows amount to Php 150,000 in each case.PLS, ANSWER LETTER B ONLY.

The present discounted value (PDV) is an estimate of the total amount of money received over a…

Compute for the following. Given the uneven streams of cash flows shown in the following table, answers parts A & B: Cash Flow Stream End of Year A в Php 50,000 Php 10,000 1 2 40,000 20,000 3 30,000 30,000 4 20,000 40,000 10,000 50,000 Undiscounted Php 150,000 Php 150,000 Total a. Find the present value of each stream, using a 15 percent discount rate STREAM A STREAM B Year (t) CF: x (1+15%)-t Present Value (PV) Year (t) CF: x (1+15%)t Present Value (PV) 1 50,000 x .869565 PHP 43,478.26 10,000 x .869565 PHP 8,695.65 40,000 x .756144 PHP 30,245.75 2 20,000 x .756144 PHP 15,122.87 3 30,000 x .657516 PHP 19,725.49 3 30,000 x .657516 PHP 19,725.49 PHP 11,435.06 PHP 22,870.13 PHP 24,858.84 4 20,000 x .571753 4 40,000 x .571753 5 10,000 x .497177 PHP 4,971.77 50,000 x .497177 TOTAL PHP 109,856.33 ТОTAL PHP 91,272.98 b. Compare the calculated present values, and discuss them in the light of the fact that the undiscounted total cash flows amount to Php 150,000 in each case. PLS, ANSWER LETTER B ONLY.

Compute for the following. Given the uneven streams of cash flows shown in the following table, answers parts A & B: Cash Flow Stream End of Year A в Php 50,000 Php 10,000 1 2 40,000 20,000 3 30,000 30,000 4 20,000 40,000 10,000 50,000 Undiscounted Php 150,000 Php 150,000 Total a. Find the present value of each stream, using a 15 percent discount rate STREAM A STREAM B Year (t) CF: x (1+15%)-t Present Value (PV) Year (t) CF: x (1+15%)t Present Value (PV) 1 50,000 x .869565 PHP 43,478.26 10,000 x .869565 PHP 8,695.65 40,000 x .756144 PHP 30,245.75 2 20,000 x .756144 PHP 15,122.87 3 30,000 x .657516 PHP 19,725.49 3 30,000 x .657516 PHP 19,725.49 PHP 11,435.06 PHP 22,870.13 PHP 24,858.84 4 20,000 x .571753 4 40,000 x .571753 5 10,000 x .497177 PHP 4,971.77 50,000 x .497177 TOTAL PHP 109,856.33 ТОTAL PHP 91,272.98 b. Compare the calculated present values, and discuss them in the light of the fact that the undiscounted total cash flows amount to Php 150,000 in each case. PLS, ANSWER LETTER B ONLY.

Essentials Of Investments

11th Edition

ISBN:9781260013924

Author:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Publisher:Bodie, Zvi, Kane, Alex, MARCUS, Alan J.

Chapter1: Investments: Background And Issues

Section: Chapter Questions

Problem 1PS

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A project is being analyzed with the following set of cash flows. Calculate the internal rate of return (IRR). (Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16.) Cash Year Flow 0 16,000 123 6,700 8,000 6,500 IRR %
A project has the following cash flows set out below. What is the profitability index of this project if the relevant discount rate is 2 percent? Enter your final answer to two decimal places. Year Cash flow 0 -1,745 1 537 2 2,066 3 3,912
What is the present value of the following stream of cash flows if the discount rate is 9%? Year 1-5: $14,000 inflow Years 6-20: $23,000 inflow (Use the present value tables in your course packet for any present value calculations. Round your final answer to the nearest dollar.)
For the cash flows shown, determine: (a) the number of possible /* values (b) the value displayed by the IRR function (c) the external rate of return using the MIRR method if i;= 18% per year and ib = 10% per year. Year Revenue, $ 0 1 2 3 4 о 25,000 19,000 4,000 28,000 Cost, $ -6,000 -30,000 -7,000 -6,000 -12,000 The number of i* values according to the rule of signs test is (Click to select) ✓ According to the cumulative cash flow sign test, /* value is (Click to select) The IRR function displays i* value as %. The external rate of return according to the MIRR method is %.
a. Find the present values of the following cash flow streams at a 7% discount rate. Do not round intermediate calculations. Round your answers to the nearest cent. Stream A Stream B Stream A: $ 0 1 H $0 $0 2 3 4 5 $100 $350 $350 $350 $250 $250 $350 $350 $350 $100 1,212.50 Stream B: $ 1,245.74 b. What are the PVs of the streams at a 0% discount rate? Round your answers to the nearest dollar. Stream A: $ 14,89 Stream B: $ 1,500.00
The following table indicates the net cash flows of a capital asset: Year Net Cash Flow 0 $-159,000 1 $59,000 2 $59,000 3 $59,000 4 $59,000 Do not enter dollar signs or commas in the input boxes. Round your answer to 2 decimal places. Calculate the cash payback period using the formula method. Payback: Answer years
Consider the following cash flows: Year Cash Flow 0 -$ 28,900 1 14,800 2 3 14,100 10,500 a. What is the profitability index for the cash flows if the relevant discount rate is 8 percent? Note: Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161 b. What is the profitability index if the discount rate is 13 percent? Note: Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161 c. What is the profitability index if the discount rate is 20 percent? Note: Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161 Answer is not complete. 0.181 × a. Profitability index b. Profitability index c. Profitability index
Consider the following cash flows: Year Cash Flow 0 -$ 29,500 1 14,200 2 3 14,700 11,100 a. What is the profitability index for the cash flows if the relevant discount rate is 10 percent? Note: Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161. b. What is the profitability index if the discount rate is 15 percent? Note: Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161. c. What is the profitability index if the discount rate is 22 percent? Note: Do not round intermediate calculations and round your answer to 3 decimal places, e.g., 32.161. a. Profitability index b. Profitability index c. Profitability index
Assume the appropriate discount rate for the following cash flows is 10.2 percent. Year Cash Flow 1 $2,100 2 2,000 3 1,700 4 1,500 What is the present value of the cash flows? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)
Consider the following cash flows: Cash Flow Year 0 -$ 33,500 1 14,500 2 17,200 3 11,900 What is the IRR of the cash flows? Note: Do not round intermediate calculations and enter your answer as a percent rounded to 2 decimal places, e.g., 32.16. Internal rate of return %
Consider the following cash flows: Year 01234 Cash Flow -$5,100 1,500 2,600 1,300 1,000 What is the payback period for the cash flows? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.) Payback period years
Present value For the case shown in the following table, calculate the present value of the cash flow, discounting at the rate given and assuming that the cash flow is received at the end of the period noted. (Click on the icon here in order to copy the contents of the data table below into a spreadsheet.) The present value is $. (Round to the nearest cent.) Single cash flow $91,000 Discount rate 15% C End of period (years) 25

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