Determine the present worth of a maintenance contract that has a cost of $30,000 in year 1 and annual increases of 6% per year for 10 years. Use an interest rate of 6% per year. Draw a cash flow diagram.
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Determine the present worth of a maintenance contract that has a cost of $30,000 in year 1 and
annual increases of 6% per year for 10 years. Use an interest rate of 6% per year. Draw a cash flow diagram.
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- A project has an initial cost of $7,900 and cash inflows of $2,100, $3,140, $3,800, and $4,500 per year over the next four years, respectively. What is the payback period? I need the steps on a financial calculator the ba IIDraw the necessary cash flow diagrams. Prob#1: Determine the present worth of an annual payment of P 4500.00 : If made at the beginning of the year for 12 years at 8% compounded annually. If made at the end of each month for 5 years at 4% compounded monthly. If 15 payments start at the end of year 4 at 6% compounded annually.A project has estimated annual net cash flows of $24,500. It is estimated to cost $147,000. Determine the cash payback period. If required, round your answer to one decimal place. fill in the blank years
- A project has estimated annual net cash flows of $54,000. It is estimated to cost $270,000. Determine the cash payback period in years. If required, round your answer to one decimal place.an organization has a loaned BD 820,000 to buy the needed machines. The loan holds an interest rate of 5% per year and is to be returned in equal payments over the next seven years. calculate the amount of the annual installment. solve the problem showing cash flow, and final answer using a suitable formula.An Investment project provides the cash flow inflows of $615 per year for 8 years. a) What is the project payback period if the initial cost is $1,750? X years. b) What is the project payback period if the initial cost is $3,400? X years. c) WHat is the project payback period if the initial cost is $5,100 X years.
- Find the total present worth of a series of cash flows with an annual interest rate of 2% per year. Round your answer to the nearest cent. Initial benefit of 6,628 at year O Benefit of 13,477 at year 3 Salvage value of 2,431 at year 4A project has estimated annual net cash flows of $28,000. It is estimated to cost $81,200. Determine the cash payback period. Round your answer to one decimal place.fill in the blank 1 of 1 yearsBased on the following table, what is the approximate Internal Rate of Return (IRR) for a project that costs $189,000 and provides annual cash inflows of $70,000 for 3 years? (See your Chapter 25 notes, page 8) Rate of Present Value of an AnnuityReturn of $1 Received for Three Years 4% 2.8 6% 2.7 8% 2.6 10% 2.5 12% 2.4 14% 2.3 16% 2.2 20% 2.1 16 percent 10 percent 8 percent 14 percent 4 percent 20 percent 12 percent 6 percent
- Flora Company has recorded the following cash flows at the end of each year for a project. If the discount rate of Flora Company is 11%, how much is the present value of the project?An investment project has annual cash inflows of $4,900, $3,400, $4,600, and $3,800, for the next four years, respectively. The discount rate is 13 percent. a. What is the discounted payback period for these cash flows if the initial cost is $5,200? b. What is the discounted payback period for these cash flows if the initial cost is $7,300? c. What is the discounted payback period for these cash flows if the initial cost is $10,300?Olive Company is considering a project that is estimated to cost $275,500 and provide annual net cash flows of $65,523 for the next five years. Required: What is the internal rate of return for this project? Note: Round your answer to 2 decimal places. Intermat Rate of Returi