Future values of single cash flows for different periods

Assignment Help Financial Management
Reference no: EM13877637

Present and Future Values of Single Cash Flows for Different Periods

Find the following values, using the equations, and then work the problems using a financial calculator to check your answers. Disregard rounding differences. (Hint: If you are using a financial calculator, you can enter the known values and then press the appropriate key to find the unknown variable. Then, without clearing the TVM register, you can "override" the variable that changes by simply entering a new value for it and then pressing the key for the unknown variable to obtain the second answer. This procedure can be used in parts b and d, and in many other situations, to see how changes in input variables affect the output variable.)

An initial $400 compounded for 1 year at 4.5%. Round your answers to the nearest cent.

An initial $400 compounded for 2 years at 4.5%. Round your answers to the nearest cent.

The present value of $400 due in 1 year at a discount rate of 4.5%. Round your answers to the nearest cent.

The present value of $400 due in 2 years at a discount rate of 4.5%. Round your answers to the nearest cent.

Reference no: EM13877637

Questions Cloud

Annuity Payment and EAR : Annuity Payment and EAR You want to buy a car, and a local bank will lend you $10,000. The loan would be fully amortized over 5 years (60 months), and the nominal interest rate would be 6%, with interest paid monthly. What is the monthly loan payment..
What is brrs unlevered cost of capital : Assume the assumptions underlying the APV are relevant. Brakes and Rakes Co. (BRR) has required return on levered equity equal to 20%, required return on debt of 9%, and corporate tax rate of 25%. The required return on the market is 15%. BRR has deb..
Time for a lump sum to double : How long will it take $200 to double if it is deposited and earns the following rates? Round your answers to the closest year. [Notes: (1) This problem cannot be solved exactly with some financial calculators.
Future values of single cash flows for interest rates : Use both the TVM equations and a financial calculator to find the following values. Round your answers to the nearest cent. (Hint: Using a financial calculator, you can enter the known values and then press the appropriate key to find the unknown var..
Future values of single cash flows for different periods : Find the following values, using the equations, and then work the problems using a financial calculator to check your answers. Disregard rounding differences. An initial $400 compounded for 2 years at 4.5%. Round your answers to the nearest cent. The..
What is the operating cash flow or OCF : Hamble, Inc., has sales of $19,070, costs of $10,460, depreciation expense of $2,530, and interest expense of $1,600. If the tax rate is 35 percent, what is the operating cash flow, or OCF?
What is its future value and present value : Present and Future Value of an Uneven Cash Flow Stream An investment will pay $200 at the end of each of the next 3 years, $400 at the end of Year 4, $500 at the end of Year 5, and $700 at the end of Year 6. If other investments of equal risk earn 12..
What is the expected return on the portfolio : You own a portfolio that has $2,500 invested in Stock A and $3,500 invested in Stock B. If the expected returns on these stocks are 10 percent and 16 percent, respectively, what is the expected return on the portfolio?
What must the expected return on this stock be : A stock has a beta of 1.25, the expected return on the market is 12 percent, and the risk-free rate is 2 percent. What must the expected return on this stock be?

Reviews

Write a Review

Financial Management Questions & Answers

  Harvey norman

Harvey Norman is a public limited company, you have to Ensure you incorporate the end - June 2012 financial statements, and where applicable, any other recent data.

  What is the expected return on the mutual fund

Consider the following capital market: a risk-free asset yielding 0.75% per year and a mutual fund consisting of 70% stocks and 30% bonds. The expected return on stocks is 10.75% per year and the expected return on bonds is 3.25% per year. The standa..

  What is the yield maintenance penalty

Twenty year self liquidating mortgage with five years remaining on the term. Interest rate is 8% and current five year treasury is 1.59%. What is the yield maintenance penalty? What if there were 10 years remaining and the treasury was 2.75%. What if..

  Desires to pay remainder of the loan in single payment

Clay Harden borrowed $37,000 from a bank at an interest rate of 8% compounded monthly. The loan will be repaid in 36 equal monthly installments over three years. Immediately after his 22th payment, Clay desires to pay the remainder of the loan in a s..

  MIRR for projects-indicate the correct adopt-reject decision

The following project is being considered in this year's capital budget. Calculate the NPV , the IRR and the MIRR for the projects and indicate the correct adopt-reject decision. Your firm's cost of capital is 10%.

  What is the risk-free rate and your required return

Assume the real rate of return in the economy is 2.5%, expected rate of inflation is 4%, and the risk premium is 5.9%, what is the risk-free rate and your required return?

  Determine the firms free cash flow

Determine the firm's free cash flow and calculate the liquidity, activity, debt, profitability, and market ratios for Jaedan industries.

  Make a depreciation schedule for a business asset

You are asked to make a depreciation schedule for a business asset. A depreciation schedule shows the remaining value of the asset at the end of each time period. Create the following depreciation schedules using Excel. E

  Corporate insiders earn abnormal profits on their trades

Do empirical studies support or reject the notion that corporate insiders earn abnormal profits on their trades? What about outside investors who mimic their trades? What forms of market efficiency, if any, are supported by these studies?

  What is your estimate of the fair price of a share of stock

Company JUK has a ROE of 25% and the company will not pay any dividend for the next 3 years. It is estimated that the company will pay $2 dividend per share after three years and then to level off to 5% per year forever. The company has a beta of 2. ..

  Able to carry relatively high debt ratios

Discuss the following statement. All else equal, firms with relatively stable sales are able to carry relatively high debt ratios. Is the statement true or false? Why? Explain.

  The cost percentage of a new common stock issue

What is the cost percentage of a new common stock issue?

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd