Which of the following would be considered a simple investment? Net Cash Net Cash Flow 1 Flow 2 n 0 1 2 3 4 -1000 -1000 100 5000 -100 Net Cash Flow 3 -2000 0 -1000 3000 2000 -3000 500 -100 500 500

What is the payback period for the following set of cash flows? Year 0 1234 Cash Flow -$5,300 2,700 1,300 2,000 2,600 O2.67 years O2.78 years O2.65 years O2.60 years O2.95 years 4

Consider the following information:    Cash Flows ($) Project C0 C1 C2 C3 C4 A –5,300 1,300 1,300 2,700 0 B –700 0 600 2,300 3,300 C –5,200 3,400 1,700 800 300   a. What is the payback period on each of the above projects? (Round your answers to 2 decimal places.)

(Related to Checkpoint 6.6) (Present value of annuities and complex cash flows) You are given three investment alternatives to analyze. The cash flows from these three investments are as follows: Investment Alternatives End of Year 1 2 3 4 5 6 $ 780 A $ 19,000 19,000 19,000 19,000 19,000 B $19,000 19,000 19,000 19,000 19.000 C $19,000 95,000 a. What is the present value of investment A at an annual discount rate of 23 percent? $ 53265.99 (Round to the nearest cent.) b. What is the present value of investment B at an annual discount rate of 23 percent? (Round to the nearest cent.) ..