If the appropriate discount rate for the following cash flows is 13 percent, what is the...

If the appropriate discount rate for the following cash flows is 13 percent, what is the net present value of these cash flows assuming the initial cost is $700? Should you go through with this investment? YEAR CASH FLOW

0- $ -700

1- 100

2- 200

3- 300

4- 400

Expert Solution

jeff jeffy answered 2 years ago

If the appropriate discount rate for the following cash flows is 11.7 percent per year, what is the present value of the cash flows?

If the appropriate discount rate for the following cash flows is 11.7 percent per year, what is the present value of the cash flows?YearCash Flow1$21,6002$25,9003$38,7004$16,200 Group of answer choices$71,407.19$74,221.80$78,270.77$80,407.16$81,121.03

The appropriate discount rate for the following cash flows is 16 percent compounded quarterly. Year Cash...

The appropriate discount rate for the following cash flows is 16 percent compounded quarterly. Year Cash Flow 1 $900 2 500 3 0 4 1,200 Required: What is the present value of the cash flows? A) $1,739.71 B) $1,810.19 C) $1,775.21 D) $1,810.72 E) $278.95

Assume the appropriate discount rate for the following cash flows is 10.3 percent. Year Cash Flow...

Assume the appropriate discount rate for the following cash flows is 10.3 percent. Year Cash Flow 1 $2,150 2 2,050 3 1,750 4 1,550 What is the present value of the cash flows? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

5.The appropriate discount rate for the following cash flows is 14 percent compounded quarterly. Year Cash...

5.The appropriate discount rate for the following cash flows is 14 percent compounded quarterly. Year Cash Flow 1 $1,000 2 600 3 0 4 1,300 Required: What is the present value of the cash flows?

Discounted Cash Flow Analysis. If the appropriate discount rate for the following cash flows is 7.3%,...

Discounted Cash Flow Analysis. If the appropriate discount rate for the following cash flows is 7.3%, what is the present value of the cash flows? Please show me how to do this problem using a Texas Instruments BAII Plus Business calculator. Year Cash Flow 1 $1,200 2 1,100 3 800 4 600

If the relevant discount rate for the following set of cash flows is 7 percent, the...

If the relevant discount rate for the following set of cash flows is 7 percent, the profitability index is . If the discount rate is 15 percent, the profitability index is . If the discount rate is 23 percent, the profitability index is . (Round your answers to 3 decimal places. (e.g., 32.162)) Year Cash Flow 0 −$9,900 1 5,400 2 4,400 3 3,900

a. What is the profitability index for the cash flows if the relevant discount rate is 10 percent?

Year 0 Cash Flow −$7,400Year 1 Cash Flow $2,700Year 2 Cash Flow $5,400Year 3 Cash Flow $5,000a. What is the profitability index for the cash flows if the relevant discount rate is 10 percent?b. What is the profitability index for the cash flows if the relevant discount rate is 17 percent?c. What is the profitability index for the cash flows if the relevant discount rate is 22 percent?

Assume the free cash flows of an investment, with a 13% discount rate, are $100 in...

Assume the free cash flows of an investment, with a 13% discount rate, are $100 in year 1, $120 in year 2. $150 in year 3, and will grow 3% in perpetuity after year 3. (show work)

You are given the following cash flow information. The appropriate discount rate is 4 percent for...

You are given the following cash flow information. The appropriate discount rate is 4 percent for years 1-6 and 6 percent for years 7-12. Payments are received at the end of each year. Year Amount 1-6 $25,000 7-12 $35,000 What is the present value of the income stream above? ***Please show your work***

What is the PV of the following cash flows, assuming a 5% discount rate?

What is the PV of the following cash flows, assuming a 5% discount rate?Initial investment – year 0: $(1,000,000)Year 1 cash flows: $100,000Year 2 cash flows: $100,000Year 3 cash flows: $100,000Year 4 -sale: $1,200,000

Question