Question: can someone please complete C6-3, including the sub-questions. Sorry if it's too long , I skipped the lectures and now I don't know how to

e next five heet to Find an Interest Rate ou have an asset that will pay $150 at the end of 66-2 Create a Spreadsheet to Find an Suppose you have an asset tha ate a spreadsheet that will efficien value of the asset's cash flows en at the end of each of the next five years. Cre- ulate the interest rate that makes the present Round your answer to the nearest one-tenth set's cash flows equal to $650. Round your answert percent and do not use any built-in present value funct C6-3 RFS's Present Values The following table gives the net cash inflows at each alternatives. For example, item l pays $83.96 immediately. Item 9 pays no ately, $100 one year hence, $50 two years hence, and $200 three years hence gives the net cash inflows at each point in time associated with nine pays $83.96 immediately. Item 9 pays nothing immedi- Time Item $83.96 $100.00 $ 50.00 6.00 $40.00 6.00 20.00 35.00 55.00 25.00 30.00 55.00 50.00 30.00 25.00 55.00 200.00 100.00 CISES. PROBLEMS. AND OBLEMS AND CASES TO ACCOMPANY FINANCIAL ACCOUNTING i s about items 1. 2. and 3. The interest rate applicat We begin with a set of questions abou nine items, unless specified otherwise, 15 annually. In providing your to the nearest 50.01 and expect some minor rounding errors. What is the present value of item I? h What is the present value of item 2? c. What is the present value of item 3? d. Suppose you had you had item 1 and invested its balance in an investment that pays period Complete the following table: Value at Time Value at Time 2 Value Initial Investment SR3.96 Suppose a bank is willing to lend money at 6%, that is, the bank is willing to extend our as long as it earns 6% on its investment. If you owned only item 2. how much borrow from the bank at time 0? That is, how much would the bank loan you in exchans for a payment of $100 three years hence? e Suppose you own item 1 and invest it immediately in a bank account that pays annually. Also, suppose you want to create the cash flow pattern of item 3. Comples the following table: Timeo Time 1 Time 2 Time 3 Balance Balance Value Balance Withdrawal Forward Balance Withdrawal Forward Balance Withdrawal $83.96 $89.00 $0.00 $39.00 In two sentences or less, describe what these calculations tell you about the concept of present values. f. The cash flows of item 4 are those of a $100 face value bond with a 6% coupon and a maturity of three periods. What is the present value of item 4? & The cash flows of item 5 are those of a zero-coupon bond. What is the present value of item 5? From what you know from earlier calculations, if you had item 5. could you repli cate the cash flows of item 4 if you had access to a bank account that pays 6% interest h. What is the present value of item 6? i. What is the present value of item 7? j. What is the present value of item 8? k. Notice that the present value of item 8 is equal to the present value of item 6 plus present value of item 7. Why is this true? I Complete the following table for item 9: Time 0 Time! Value before Value after Payment Payment Valur belo Value before Payment Value after Payment Value m. Now suppose the interest rate changes unexpectedly to 8% the instant before Complete the following table for item 9 values at times and I should be as inpur Istant before time? be as in part Time 0 Timel Value before Value after Payment Payment Time 2 Value before Value after Payment Payment Time Bebe Value Payment
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