User Account

All Pages

Present value of an uneven stream of payments?

Assignment Help Finance Basics
Reference no: EM132779826

(Present value of an uneven stream of payments?) You are given three investment alternatives to analyze. The cash flows from these three investments are as? follows:

End of Year   A     B    C
1 3000 3000 5000

2 4000 3000 5000

3 5000 3000 ( 5000 )

4 ( 6000 ) 3000 ( 5000 )

5 6000 5000 15000

What is the present value of each of these three investments if the appropriate discount rate is 12%?

a. What is the present value of investment A at an annual discount rate of 12%? ?(Round to the nearest? cent.)

Reference no: EM132779826

Questions Cloud

What is the return on equity for reliable cars : What is the return on equity for Reliable Cars? Reliable Cars has sales of $807,200, total assets of $1,105,100, and a profit margin of 5.68 percent.
Present value of a growing? perpetuity : What is the present value of a perpetual stream of cash flows that pays ?$1000 at the end of year one and the annual cash flows grow at a rate
How much will be in the account after 7 ?years : If you deposit ?$900 into an account at the end of each of the next 7 ?years, and the account pays an annual interest rate of 5%?, how much will be in the accou
Compute what is the amount of the net income : Ratio of 47 percent, a total assets turnover of 1.4, and a profit margin of 3.9 percent, the total equity is $511,640. What is the amount of the net income?
Present value of an uneven stream of payments? : You are given three investment alternatives to analyze. The cash flows from these three investments are as? follows:
Prepare separate closing entries for sales and the contra : The adjusted trial balance of Bonita Company, Prepare separate closing entries for (1) sales and (2) the contra accounts to sales.
What amount of income should company a recognized : On January 2, 2019, Company A received a grant of Php 60,000,000 to compensate it for costs it incurred in planting trees over a period of five years.
Income tax on multiple sources of income : Mr. Bakhtawar, a Individual Person, has following information for the Tax Year 2020.
Determine the dollar value of cost of goods sold : Easton Company uses the periodic inventory system and had the following inventory & sales activity for the month of May 2019.

Reviews

Write a Review

Finance Basics Questions & Answers

  Accumulated sum of the stream of payments

What is the accumulated sum of the following stream of payments?

  Compute the firm cost of capital

A corporation has a target capital structure of 40% debt and 60% equity. A new debt will be issued at a before tax yield and coupon rate of 10%. If the required rate of return of firm's stock is 15% and marginal rate of 40%, compute the firm's cos..

  Marginal cost of capital to raise the needed funds

If Killer needs to raise $220,000 and it expects to generate $100,000 in retained earnings this year, what is its marginal cost of capital to raise the needed f

  Why not simply increase leverage as long as the firm is able

In financial leverage, why not simply increase leverage as long as the firm is able to earn more on the employment of the funds thus provided than they cost? Would not earnings per share increase?

  Give an example of a cash flow hedge and an example of a

give an example of a cash flow hedge and an example of a fair value

  Summarize two of the authors'' arguments

Summarize two of the authors' arguments

  Grant hillside homes inc has preferred stock outstanding

grant hillside homes inc. has preferred stock outstanding that pays an annual dividend of 9.80. its price is 110. what

  What is the size of the final payment

If the first payment is due at the date of the agreement, what is the size of the final payment?

  How are savings banks and savings

How are savings banks and Savings & Loans similar but yet also very different.

  Find present value of preference share

Market expectation is 14% from this preference share. What would be the present value of this preference share?

  What is the cost of internal common equity

What is the cost of internal common equity (retained earnings) if the long-term growth in dividends is projected to be 5 percent indefinitely?

  Find the portfolio beta and required return

You plan to invest in a portfolio fund. The fund's total capital is $150 million, which is invested into stock FIB ($60 million) and stock ATM ($90 million).

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

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