(Summer 2 2014 Q4) The present value (t ) ( 0) of the following cash flow stream is $1,262 23 when discounted at 12 percent annually What is the value of the missing cash flows (x) Assume the pattern of payments will continue in perpetuity (Every third year there is no payment) The present value (t 0) of the following cash flow stream is $1,262 23 when discounted at 12 percent annually What is the value of the missing cash flows (x) Assume the pattern of payments will continue in perpetuity (Every third year there is no payment)

The Answer is in the image, click to view ...

Question: (Summer 2 2014 - Q4) The present value (t ) = ( 0) of the following cash flow stream is $1,262.23 when discounted at 12

(Summer 2 2014 - Q4)\ The present value

(t

)

=

(

0)

of the following cash flow stream is

$1,262.23

when discounted at 12 percent annually. What is the value of the missing cash flows (x)? Assume the pattern of payments will continue in perpetuity (Every third year there is no payment).

$(Summer 2 2014 - Q4)\ The present value (t) =( 0)$

The present value (t=0) of the following cash flow stream is $1,262.23 when discounted at 12 percent annually. What is the value of the missing cash flows (x)? Assume the pattern of payments will continue in perpetuity (Every third year there is no payment)

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!

1) Using the NPV as a decision rule for investment purposes takes into account the following considerations: A.Changing benefit streams. B.Changing levels of risk. C.Time value of money D.All of the...

5. The present value (t = 0) of the following cash flow stream is $5,979.04 when discounted at 12 percent annually. What is the value of the missing (t = 2) cash flow? 0 1 2 3 4 Periods...

You have applied for a job with a local bank. As part of its evaluation process, you must take an examination of the time value of money analysis covering the following questions. Questions 6 and 7:...

show all the steps please 6) Year 1=$1,000; Year 2-$2,000; Year 3$3,000; and Year 4-$4,000. What is the present value of these cash flows at 10 percent? 7) The present value (t - 0) of the following...

18. The present value (t =0) of the following cash flow stream is $8.178.17 when discounted at 12 percent annually. What is the value of the MISSING (t = 2) cash flow? 1 2 ----- - -- $0 $4,000 $?...

Show all work please 6) Year 1=$1,000; Year 2=$2,000; Year 3=$3,000; and Year 4=$4,000. What is the present value of these cash flows at 20 percent? The present value (t = 0) of the following cash...

SHOW ALL STEPS. 7) The present value (t = 0) of the following cash flow stream is $11,958.07 when discounted at 12 percent annually. What is the value of the missing t = 2 cash flow? 0 1 2 3 4 PV =...

NEED THIS SHOWN WORKED IN EXCEL. PLEASE SHOW FORMULAS USED Question 1: noitesu The present value (t 0) of the following cash flow stream is $11,958.20 when discounted at 12% annually. What is the...

can you show this worked in excel? Question 1: The present value (t = 0) of the following cash flow stream is $11,958.20 when discounted at 12% annually. What is the value of the missing t = 2 cash...

Your company is planning to borrow R500 000 on a 5-year, 7%, annual payment, fully amortized term loan. What is the amount of the payment made at the end of the second year will represent repayment...

5. Reverse Array Queries For a given array of integers, perform operations on the array. Return the resulting array after all operations have been applied in the order given. Each operation contains...

Heights of American women ages 18-24 follow a normal distribution with an average of 64.3 inches. (Assume that measurements are made to the nearest 0.1 inch.) Moreover, 50% of the heights are between...

provide the cash paid for merchandise, cash paid for selling / administrative expenses, net cash provided by operating activities, sale of investments and the enet increase in cash using the direct...

i need help with this in 20 mins Periodic inventory by three methods; cost of goods sold The units of an item available for sale during the year were as follows: There are 80 units of the item in the...

4. Who should be invited to attend?

7. How will you encourage her to report back on the findings?

Were the decisions based on appropriate facts?