Question
1.Calculate the value of the stream of cash flows below in Year 4. t=0--->CF0 = $450 t=1--->CF1 = $550 t=2--->CF2 = $650 t=3--->CF3 = $750
1.Calculate the value of the stream of cash flows below in Year 4. t=0--->CF0 = $450 t=1--->CF1 = $550 t=2--->CF2 = $650 t=3--->CF3 = $750 t=4--->CF4 = $850 t=5--->CF5 = $950 t=6--->CF6 = $1050 The relevant rate is 8%. (Enter only numbers and decimals in your response. Round to 2 decimal places.)
2.You just purchased an investment at a price of $2500. The investment promises to pay $400 in 1 year, $600 in 2 years, $800 in 3 years, $900 in 4 years, and $1200 in 5 years. What rate of return will you earn on this investment? Express your answers as a percentage. (Enter only numbers and decimals in your response. Round to 2 decimal places.)You must solve for the rate as an IRR
3.You wish to save $9,000 at the end of 5 years by depositing in $1,000 into your savings account in Year 1, $1,400 in 2 years, $1,600 in 3 years, $1,800 in 4 years, and $1,900 in 5 years. What interest rate must you earn to reach to goal? Express your answers as a percentage. (Enter only numbers and decimals in your response. Round to 2 decimal places.)You must solve for the rate as IRR
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