Question: Consider the cash flows presented in the table below. What is the present value if the appropriate interest rate is 8 percent compounded annually? Year

Consider the cash flows presented in the table below. What is the present value if the appropriate interest rate is 8 percent compounded annually?

Year Cash Flow

1 12,000

2 9,000

3 7,500

4 15,000

Using excel!!!

Step by Step Solution

There are 3 Steps involved in it

1 Expert Approved Answer
Step: 1 Unlock blur-text-image
Question Has Been Solved by an Expert!

Get step-by-step solutions from verified subject matter experts

Step: 2 Unlock
Step: 3 Unlock

Students Have Also Explored These Related Finance Questions!

Q:

How do you calculate this in excel ?? 5 3 ,000 Consider the cash flows presented in the table below. What is the present value if the appropriate intere rate is 7 percent compounded annually? Year...

Q:

Consider the cash flows presented in the table below. What is the present value if the appropriate interest rate is 6 percent compounded annually? Year Cash Flow 1 1,000 2 3,000 3 2,000 4 5,000 5...

Q:

Consider the cash flows presented in the table below. What is the present value if the appropriate interest rate is 6 percent compounded annually? Year Cash Flow 1 11,000 2 13,000 3 12,000 4 15,000 5...

Q:

1 Consider the cash flows presented in the table below. What is the present value if the appropriate interest rate is 7 percent compounded annually?

Q:

1 Consider the cash flows presented in the table below. What is the present value if the appropriate interest rate is 7 percent compounded annually?

Q:

5. Suppose there is an investment project with the following cash flows to be received at the end of next three years. If the interest rate is 8 percent: Year Cash Flow 1 $600 2 900 1,300 (a) What is...

Q:

Given the following two sets of cash flows, determine whether A or B has the higher present value. Assume an interest rate of 12%. (Helpful hint: remember that the PVA table is compiled on the basis...

Q:

You have $75,000 to invest. You need the money in 12 years and you expect to earn 7% per year. How much will you have in 12 years? Owen needs $260,000 in 9 years for his daughter's education. If he...

Q:

Solve through excel per year. How much will you have in 10 years? 2. Bernard needs $140,000 in 9 years for his daughter's education. If he can earn 7.5% per year, how much does he need to invest...

Q:

You have $12,000 to invest. You need the money in 13 years, and you expect to earn 6% per year. How much will you have in 13 years? Steven needs $180,000 in 10 years for his daughter's education. If...

Q:

Find the tension in each cord in the figure if the weight of thesuspended object is w. 1) Findthe tension of the cord A in the figure (a). 2) Findthe tension of the cord B in the figure (a). 3)...

Q:

A manufacturer of tiling grout has supplied the following data: Kilograms produced and sold 380,000 Sales revenue $ 1,870,000 Variable manufacturing expense $ 952,000 Fixed manufacturing expense $...

Q:

11. Why is it necessary to make an adjustment for supplies used?

Q:

On 1 March 2007 DB Limited issued R560 000 15% debentures at R98. The debentures were to be redeemed at par in four equal annual payments starting 28 February 2010. Required: Journalise the above...