Question

Find the present values of the following cash flow streams at a 5% discount rate. Round your answers to the nearest cent.

0 | 1 | 2 | 3 | 4 | 5 |

Stream A | $0 | $150 | $350 | $350 | $350 | $300 |

Stream B | $0 | $300 | $350 | $350 | $350 | $150 |

Stream A $

Stream B $

What are the PVs of the streams at a 0% discount rate?

Stream A $

Stream B $

Answer #1

Present Value at 5% Discount Rate :

Stream A = **$ 1,285.66**

Stream B= **$ 1,310.99**

Note :

Stream A = $ 150 * 1/(1.05)^ 1 + $ 350* 1/(1.05)^ 2 + $ 350 * 1/(1.05)^ 3 + $ 350* 1/(1.05)^ 4 + $ 300* 1/(1.05)^ 5

= $ 1,285.66

Stream B =

=$ 300 * 1/(1.05)^ 1 + $ 350* 1/(1.05)^ 2 + $ 350 * 1/(1.05)^ 3 + $ 350* 1/(1.05)^ 4 + $ 150* 1/(1.05)^ 5

= $ 1,310.99

Present Value at 0% Discount Rate :

Stream A = **$ 1,500.00**

Stream B= **$** **1,500.00**

Note :

Stream A = $ 150 * 1/(1.00)^ 1 + $ 350* 1/(1.00)^ 2 + $ 350 * 1/(1.00)^ 3 + $ 350* 1/(1.00)^ 4 + $ 300* 1/(1.00)^ 5

= $ 1,500.00

Stream B =

=$ 300 * 1/(1.00)^ 1 + $ 350* 1/(1.00)^ 2 + $ 350 * 1/(1.00)^ 3 + $ 350* 1/(1.00)^ 4 + $ 150* 1/(1.00)^ 5

= $ 1,500.00

Find the present values of the following cash flow streams at a
10% discount rate. Round your answers to the nearest cent. 0 1 2 3
4 5 Stream A $0 $150 $350 $350 $350 $300 Stream B $0 $300 $350 $350
$350 $150 Stream A $ Stream B $ What are the PVs of the streams at
a 0% discount rate? Stream A $ Stream B $

Find the present values of the following cash flow streams at
an 8% discount rate. Do not round intermediate calculations. Round
your answers to the nearest cent.
0
1
2
3
4
5
Stream A
$0
$150
$350
$350
$350
$300
Stream B
$0
$300
$350
$350
$350
$150
Stream A: $
Stream B: $
What are the PVs of the streams at a 0% discount rate? Round
your answers to the nearest dollar.
Stream A: $
Stream B: $

Find the present values of the following cash flow streams at a
12% discount rate. Do not round intermediate calculations. Round
your answers to the nearest cent.
0
1
2
3
4
5
Stream A
$0
$150
$350
$350
$350
$300
Stream B
$0
$300
$350
$350
$350
$150
Stream A: $
Stream B: $
What are the PVs of the streams at a 0% discount rate? Round
your answers to the nearest dollar.
Stream A: $
Stream B: $

Find the present values of the following cash flow streams at a
6% discount rate. Do not round intermediate calculations. Round
your answers to the nearest cent.
0
1
2
3
4
5
Stream A
$0
$150
$350
$350
$350
$250
Stream B
$0
$250
$350
$350
$350
$150
Stream A: $
Stream B: $
What are the PVs of the streams at a 0% discount rate? Round
your answers to the nearest dollar.
Stream A: $
Stream B: $

A. Find the present values of the following cash flow streams at
a 9% discount rate. Round your answers to the nearest cent.
Stream A
$0
$100
$350
$350
$350
$300
Stream B
$0
$300
$350
$350
$350
$100
Stream A $
Stream B $
B. What are the PVs of the streams at a 0% discount rate?
Stream A $
Stream B $

Find the present values of the following cash flow streams at a
6% discount rate. Do not round intermediate calculations. Round
your answers to the nearest cent.
0
1
2
3
4
5
Stream A
$0
$150
$400
$400
$400
$300
Stream B
$0
$300
$400
$400
$400
$150
Stream A: $
Stream B: $
What are the PVs of the streams at a 0% discount rate? Round
your answers to the nearest dollar.
Stream A: $
Stream B: $

Find the present values of the following cash flow streams at a
6% discount rate. Do not round intermediate calculations. Round
your answers to the nearest cent.
0
1
2
3
4
5
Stream A
$0
$150
$400
$400
$400
$250
Stream B
$0
$250
$400
$400
$400
$150
Stream A $
Stream B $
What are the PVs of the streams at a 0% discount rate? Round
your answers to the nearest dollar.
Stream A $
Stream B $

Find the present values of the following cash flow streams at
an 8% discount rate. Do not round intermediate calculations. Round
your answers to the nearest cent.
0
1
2
3
4
5
Stream A
$0
$100
$400
$400
$400
$300
Stream B
$0
$300
$400
$400
$400
$100
Stream A: $
Stream B: $
What are the PVs of the streams at a 0% discount rate? Round
your answers to the nearest dollar.
Stream A: $
Stream B: $

Find the present values of the following cash flow streams at a
6% discount rate. Round your answers to the nearest cent. 0 1 2 3 4
5 Stream A $0 $100 $450 $450 $450 $250 Stream B $0 $250 $450 $450
$450 $100 Stream A $ Stream B $ What are the PVs of the streams at
a 0% discount rate? Stream A $ Stream B $

UNEVEN CASH FLOW STREAM
Find the present values of the following cash flow streams at a
6% discount rate. Round your answers to the nearest cent.
0
1
2
3
4
5
Stream A
$0
$100
$450
$450
$450
$300
Stream B
$0
$300
$450
$450
$450
$100
Stream A $
Stream B $
What are the PVs of the streams at a 0% discount rate?
Stream A $
Stream B $

ADVERTISEMENT

Get Answers For Free

Most questions answered within 1 hours.

ADVERTISEMENT

asked 1 minute ago

asked 9 minutes ago

asked 9 minutes ago

asked 11 minutes ago

asked 20 minutes ago

asked 29 minutes ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 1 hour ago

asked 2 hours ago

asked 2 hours ago