Question

2. PV and FVs of a cash flow stream (Draw the time line in Excel. Use...

2. PV and FVs of a cash flow stream (Draw the time line in Excel. Use Excel financial functions only.) PLEASE SHOW WORK WTH EXCEL

An investment will pay $100 at the end of each of the next 3 years, $200 at the end of year 4, $300 at the end of year 5, and $500 at the end of year 6. If other investments of equal risk earn 5% annually, what is its present value? Its future value?

PLEASE SHOW WORK WTH EXCEL

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

I have used NPV() formula to calculate the present value of all future cash flows, and FV() to calculate the future value of the present value obtained by NPV().

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
5-7 Present and Future Values of a Cash Flow Stream An investment will pay $100 at...
5-7 Present and Future Values of a Cash Flow Stream An investment will pay $100 at the end of each of the next 3 years, $200 at the end of year 4, $300 at the end of year 5, and $500 at the end of Year 6. If other investments of equal risk earn 8% annually, what is its present value? Its future value?
Problem 4-7 Present and Future Value of an Uneven Cash Flow Stream An investment will pay...
Problem 4-7 Present and Future Value of an Uneven Cash Flow Stream An investment will pay $100 at the end of each of the next 3 years, $400 at the end of Year 4, $600 at the end of Year 5, and $700 at the end of Year 6. If other investments of equal risk earn 7% annually, what is its present value? Round your answer to the nearest cent. $ What is its future value? Round your answer to...
Problem 4-7 Present and Future Value of an Uneven Cash Flow Stream An investment will pay...
Problem 4-7 Present and Future Value of an Uneven Cash Flow Stream An investment will pay $100 at the end of each of the next 3 years, $400 at the end of Year 4, $600 at the end of Year 5, and $800 at the end of Year 6. If other investments of equal risk earn 10% annually, what is its present value? Round your answer to the nearest cent. $   What is its future value? Round your answer to...
An investment will pay $100 at the end of each of the next 3 years, $200...
An investment will pay $100 at the end of each of the next 3 years, $200 at the end of Year 4, $300 at the end of Year 5, and $500 at the end of Year 6. If other investments of equal risk earn 10% annually, what is its present value? Round your answer to the nearest cent. If other investments of equal risk earn 10% annually, what is its future value? Round your answer to the nearest cent.
eBook Problem Walk-Through An investment will pay $50 at the end of each of the next...
eBook Problem Walk-Through An investment will pay $50 at the end of each of the next 3 years, $200 at the end of Year 4, $300 at the end of Year 5, and $500 at the end of Year 6. If other investments of equal risk earn 8% annually, what is its present value? Its future value? Do not round intermediate calculations. Round your answers to the nearest cent. Present value: $   Future value: $  
An investment will pay $100 at the end of each of the next 3 years, $200...
An investment will pay $100 at the end of each of the next 3 years, $200 at the end of Year 4, $300 at the end of Year 5, and $500 at the end of Year 6. If other investments of equal risk earn 6% annually, what is its present value? Its future value? Do not round intermediate calculations. Round your answers to the nearest cent..
. Assuming a discount rate of 14%, calculate the PV of a cash flow stream that...
. Assuming a discount rate of 14%, calculate the PV of a cash flow stream that pays $500 in one year and $1,000 in 5 years.
Draw a time line of the following three cash flow streams. Stream A has cash flows...
Draw a time line of the following three cash flow streams. Stream A has cash flows of -100, 90, 186, 85, and 200 in years 0 through 4. Stream B is an annuity with cash flows of $100 for three years. Stream C is a perpetuity with a constant cash flow of $80. Compare the cash flows of the three cash flow streams. Identify the cash flow stream pays the most at year two and record this NUMBER.
An investment will pay $50 at the end of each of the next 3 years, $200...
An investment will pay $50 at the end of each of the next 3 years, $200 at the end of Year 4, $300 at the end of Year 5, and $550 at the end of Year 6. If other investments of equal risk earn 12% annually, what is its present value? Its future value? Do not round intermediate calculations. Round your answers to the nearest cent. Present value: $   Future value: $
An investment will pay $150 at the end of each of the next 3 years, $200...
An investment will pay $150 at the end of each of the next 3 years, $200 at the end of Year 4, $300 at the end of Year 5, and $600 at the end of Year 6. If other investments of equal risk earn 11% annually, what is its present value? Its future value? Do not round intermediate calculations. Round your answers to the nearest cent. Present value: Future value:
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT