what is its present value? Its future value?

An investment, which is worth $57,023.00 and has an expected return of 17.00 percent, is expected to pay fixed annual cash flows forever with the next annual cash flow expected in 1 year. What is the present value of the annual cash flow that is expected in 3 years from today? O $9,693.91 (plus or minus 3 dollars) O $35,603.48 (plus or minus 3 dollars) O $6,052.59 (plus or minus 3 dollars) O $8,285.39 (plus or minus 3 dollars) O none of the answers are within 3 dollars of the correct answer

Justin Lieberman must earn a minimum rate of return of 16.79% as compensation for the risk of the following investment a. Use present value techniques to estimate the IRR on this investment. b. On the basis of your finding in part a, should Justin make the proposed investment? a. The yield on this investment is %. (Round to two decimal places.) Data table Initial Investment End of Year 1 2345 $15,119 Income $3,957 $4,879 $5,900 $3,601 $2,000 - X C

Assume an investment is priced today at $5,000 and has the following income stream: Year Cash Flow 1 123 2 3 4 $ 1,000 - 2,000 3,000 3,000 Would an investor with a required rate of return of 15 percent be wise to invest at a price of $5,000? Multiple Choice No, because the investment has a net present value of - $1,139.15. No, because the investment has a net present value of - $1,954.91. Yes, because the investment has a net present value of $1,069.66. Yes, because the investment has a net present value of $1,954.91. An investor would be indifferent between purchasing and not purchasing the above investment at the stated price.

what is the present value of a series of $6000 end of the year cash flowsto be received forever if the required rate of return is 5% per year and the first cash flow is one year from today? a)$8333.33 b)300 c)120000 d)12000

PRESENT AND FUTURE VALUES OF A CASH FLOW STREAM An investment will pay $150 at the end of each of the next 3 years, $250 at the end of Year 4, $350 at the end of Year 5, and $550 at the end of Year 6. a. If other investments of equal risk earn 10% annually, what is its present value? Round your answer to the nearest cent. $ b. If other investments of equal risk earn 10% annually, what is its future value? Round your answer to the nearest cent. $

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Assuming a​ 1-year, money market account investment at 2.282.28 percent​ (APY), a 1.391.39 percent inflation​ rate, a 2525 percent marginal tax​ bracket, and a constant ​$50 comma 00050,000 ​balance, calculate the​ after-tax rate of​ return, the real rate of​ return, and the total monetary return. What are the implications of this result for cash management​ decisions?       Question content area bottom Part 1 Assuming a​ 1-year, money market account investment at 2.282.28​% ​(APY), a 2525​% marginal tax​ bracket, and a constant $ 50 comma 000$50,000 ​balance, the​ after-tax rate of return is 1.711.71​%.   ​(Round to two decimal​ places.) Part 2 Assuming a​ 1-year, money market account investment at 2.282.28​% ​(APY), a 2525​% marginal tax​ bracket, and a constant $ 50 comma 000$50,000 ​balance, the​ after-tax monetary return is ​$855855. ​(Round to the nearest​ dollar.) Part 3 Given an​ after-tax return of 1.711.71​% and an inflation rate of 1.391.39​%, the​ after-tax real rate…

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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.)