What is the future equivalent of the cash flows

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1. A series of deposits beginning with $15,000 in the first year and increasing by $10,000 a year for until the end of year 12. What is the equivalent uniform series of annual deposits if the interest rate is 10%?

2. A start up company is expecting net income to be $100,000 in the first year, $1560,000 the second year, $200,000 the third year and $250,00 the fourth year. What is the future equivalent of the cash flows if i=12%?

3. Stock A has a beta of 1.52 and a return of 18.9 percent. Stock B has a beta of 2.26 and a return of 24.3 percent. What is the risk-free rate of return if both stock A and stock B are correctly priced?

Reference no: EM131873925

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