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PLEASE do ALL SCENARIOS as asked! Need help ASAP!! Solve various time value of money scenarios. (Click the ioon to vinw the sconarios.) (Click the
PLEASE do ALL SCENARIOS as asked! Need help ASAP!!
Solve various time value of money scenarios. (Click the ioon to vinw the sconarios.) (Click the icon to view the present value of $1 table.) (Click the icon to view the present value of annulty of $1 table.) (Click the icon to view the future value of $1 table.) (Click the icon to view the future value of annuity of $1 table.) Scenario 1. Frank just hit the jackpot in Las Vegas and won $40,000 \} if he invests it now, at a 12% interest rate, how much will it be worth in 20 years? (Round your answer to the nearest whole dollar.) Future value = Scenario 2. Inman would like to have $4,000,000 saved by the time he retires in 30 years. How much does he need to invest now at a 10% interest rate to fund his retirement goal? (Roand your answer to the nearest whole dollar.) Present value Scenario 3. Assume that Nancy accumulates savings of $2 million by the time she retires. If she irvests this savings at 8%, how much money will she be able to witheraw at the end of each year for 20 years? (Round your answes to the nearest whole dollar and enter as a positive amount.) Anount able to withdraw = Scenario 4. Ivana plans to invest $5,500 at the end of each year for the next eight years. Assuming a 14% interest rate, what will her investment be worth eight years from now? (Round your answer to the nearest whole dollar.) Future value = Scenario 5. Assuming a 6% interest trie, how much would Danielle have to invest now to be able to withdraw 59,000 at the end of every year for the next ten years? (Round you answer to the nearest whole dollar.) Present value = Future value = Scenario 5. Assuming a 6% interest rate, how much would Danielle have to invest now to be svery year for the next ten years? (Round yo answer to the nearest whole dollar.) Present value = Scenario 6. Sammy is considering a capital investment that costs $525,000 and will provide not cash, inflows for three years, Using a hurdle rate of 10%, find the NPV of the investment. (Rocund your answer to the nearest whole dollar. Use parentheses or a minus sign to ropreaent a negative NPV.) Net Present Value (NPV) = Scenario 7. What is the IRR of the capial investment described in Question 6? The IRR is the interest rate at which the investment NPV =0. We tried 10% in question 6 , now well try 12% and calculate the NPV. (Round your answer to the nearest whole dolar. Use parentheses or a minus sign to represent a negative NPY.) Net Presem Value (NPV) = The IRR tor the project is in Question 6 ? Ne tried 10% in question 6 , now well try 12% and calculate the NPV. (Round your answer to the nearest whole NPV,) More info 1. Frank just hit the jackpot in Las Vegas and won $40,000 ! If he invests it now, at a 12% interest rate, how much will it be worth in 20 years? 2. Inman would like to have $4,000,000 saved by the time he retires in 30 years. How much does he need to invest now at a 10% interest rate to fund his retirement goal? 3. Assume that Nancy accumulates savings of $2 million by the time she retires. If she invests this savings at 8%, how much money will she be able to withdraw at the end of each year for twenty years? 4. Ivana plans to invest $5,500 at the end of each year for the next eight years. Assuming a 14% interest rate, what will her investment be worth eight years from now? 5. Assuming a 6% interest rate, how much would Danielle have to invest now to be able to withdraw $9,000 at the end of every year for the next ten years? 6. Sammy is considering a capital investment that costs $525,000 and will provide the following net cash inflows: Using a hurdle rate of 10%, find the NPV of the investment. 7. What is the IRR of the capital investment described in Question 6 ? Reference Reference Reference Reference Step by Step Solution
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