For the cash flows below, determine the amount in year 1, if the annual worth in...
Fantastic news! We've Found the answer you've been seeking!
Question:
Transcribed Image Text:
For the cash flows below, determine the amount in year 1, if the annual worth in years 1 through 9 is $4,400 and the interest rate is 6.00% per year. Year 1 2 5 6 7 8 9 Cash, 0.060 0.060+40 0.060+800.060+120 0.060+160 0.060+200 0.060+240 0.060+280 0.060+320 $1000 (Round the final answer to three decimal places.) The amount in year 1 is $ 3 4 For the cash flows below, determine the amount in year 1, if the annual worth in years 1 through 9 is $4,400 and the interest rate is 6.00% per year. Year 1 2 5 6 7 8 9 Cash, 0.060 0.060+40 0.060+800.060+120 0.060+160 0.060+200 0.060+240 0.060+280 0.060+320 $1000 (Round the final answer to three decimal places.) The amount in year 1 is $ 3 4
Expert Answer:
Answer rating: 100% (QA)
To find the amount in year 1 we need to calculate the present value of the cash flows using the g... View the full answer
Related Book For
Income Tax Fundamentals 2013
ISBN: 9781285586618
31st Edition
Authors: Gerald E. Whittenburg, Martha Altus Buller, Steven L Gill
Posted Date:
Students also viewed these economics questions
-
The following pedigree, described in 1937 by C. L. Birch, shows the inheritance of X-linked color blindness and hemophilia in a family. What is the genotype of II-2? Do any of her children provide...
-
For the cash flows below determine the amount in year 1, if the annual worth in years 1 through 9 is $3500 and the interest rate is 10% per year. 1 2 4 5 6 7 3 Year Cost, A A+40A+80A+120 A+160 A+200...
-
Investment A has an IRR of 18% and an NPV of $1.2 million. Investment B has an IRR of 14% and an NPV of $1.5 million. The Investments A & B are mutually exclusive. Which investment should you choose?
-
In a small university, the Computer Science Department has six faculty members. However, each faculty member belongs to only the computer science department. This type of relationship is called a....
-
Which method for preparing the Operating Activities section of the statement of cash flows, the direct or the indirect method, do you believe provides more information to users of the statement?...
-
1. Define and give an example of a. Motivating operation b. Establishing operation c. Abolishing operation 2. Give an example showing how a motivating operation can influence a. The learning of a...
-
Christopher Boling was seriously injured in 2008 when vapors escaping from a gas can ignited. He filed a products liability claim against the manufacturer. To fund the litigation, Boling entered into...
-
Flowers Associates is evaluating the performance of three divisions: Daisies, Pansies, and Tulips. Using the data that follow, compute the return on investment and residual income for each division,...
-
The half-life of a certain brand of ice cream is 180 minutes. a. Find the decay rate of the ice cream. (6 decimal places) b. How long will it take for it to decay to 60% of the original amount. c. At...
-
Review the rental costs at Pine Woods Apartments outlined below. Compare these costs with your estimated income and rental and living expenses, and then answer the following questions. THE CHALLENGE...
-
What legislation requires public companies to establish and maintain internal controls to ensure accurate financial reporting and mitigate fraud risks?
-
As a CEO, you feel the price war in your industry is killing profits for all firms. However, you have been warned by corporate lawyers not to openly discuss pricing with rivals, whom you know...
-
Given v 1 = 5 and a = .05, find v 2 for the following F values. (a) 5.05 (b) 3.33 (c) 2.53
-
Suppose the owner in question 65 observed the sales for 60 days and found the average sales to be 115 with a standard deviation of 12. Obtain the 90 % confidence interval for the demand for bagels....
-
As a CEO, you are concerned that your firm and the industry in your country are being devastated by foreign imports. Trade lawyers suggest that you file an antidumping case against leading foreign...
-
The owner of a local bakery feels that too many bagels are thrown out every night, so he decides to estimate the demand for bagels. After a months observation, he collected 30 days sales and...
-
Makers of tablet computers continually work within narrowconstraints on cost, power consumption, weight, and battery life.Describe what you feel would be the perfect tablet computer. Howlarge would...
-
As of January 1, 2018, Room Designs, Inc. had a balance of $9,900 in Cash, $3,500 in Common Stock, and $6,400 in Retained Earnings. These were the only accounts with balances in the ledger on January...
-
Clifford Johnson has a limited partnership investment and a rental condominium. Clifford actively manages the rental condominium. During 2012, his share of the loss from the limited partnership was...
-
In 2012, Lou has a salary of $54,000 from her job. She also has interest income of $1,700. Lou is single and has no dependents. During the year, Lou sold silver coins held as an investment for a...
-
Linda and Richard are married and file a joint return for 2012. During the year, Linda, who works as an accountant for a national airline, used $2,100 worth of free passes for travel on the airline;...
-
The employees of a midsized printed circuit-board manufacturer had been excited about their empowerment program during its first several months of operation. A number of solid suggestions for...
-
Explain the concept of workforce readiness as it relates to empowerment.
-
Distinguish between empowerment and enlistment.
Study smarter with the SolutionInn App