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please provide the correct answer! H a. THIS SHEET NOT DONE YET When you are finished with this exercise, change the status to DONE! ALT-FUTURE-VALUE-LUMP-SUM
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H a. THIS SHEET NOT DONE YET When you are finished with this exercise, change the status to "DONE!" ALT-FUTURE-VALUE-LUMP-SUM Hood Company invested $2,800 in an account that earns 4.00% per year. How much will the investment grow to in 5 years? 0 5 Investment in time period 0: $2,800 ? Put answer in box to the right.... ALT-PV-LUMP-SUM b. Shasta Inc. is looking at an investment that will pay Shasta Inc. $9,572 in 5 years. How much should the company pay for this investment today, in order to earn a rate of return of 5.00% 7 0 Investment in time period 0: $9,572 Put answer in box to the right... ALT-PV-ANNUITY Shasta Inc. is looking at an investment that will pay Shasta Inc. $5,000 each year for 5 years. How much should the company pay for this annuity today, in order to earn a rate of return of 5.00% ? 0 2 3 5 Investment in time period 0: $5,000 $5,000 $5,000 $5,000 $5,000 Put answer in box to the right.... ALT-PV-CASH STREAM d. Baker Brothers is looking at an investment that will pay Baker Brothers $4,000 in year 1, $5,000 in year 2, and $7.500 Answer Answer Answer Answer d. an STREAM Baker Brothers is looking at an investment that will pay Baker Brothers $4,000 in year 1, $5,000 in year 2 and $7,500 in year 3. How much should the company pay for this cash stream today, in order to earn a rate of return of 6.00% 7 0 2 Investment in time period 0: 1 $4,000 Put answer in box to the right... $5,000 $7,500 PV OF $1.00 1% 0.9901 2% 0.9804 1 2 0.9803 0.9612 3 0.9706 0.9423 4 0.9610 0.9238 5 0.9515 0.9057 PV OF AN ANNUITY OF $1.00 1% 2% 1 0.9901 1.9704 0.9804 1.9416 2.8839 3.8077 2.9410 3.9020 4.8534 4.7135 NIT OVER UND 2 3 4 5 4% 7% 3% 0.9709 5% 0.9524 0.9070 0.8900 0.8734 6% 0.9434 0.9346 0.9615 0.9246 0.8890 0.9426 09151 0.8885 0.8548 0.8638 0.8227 0.7835 0.8396 0.8163 0.7921 0.7629 0.7473 0.7130 0.8626 0.8219 3% 4% 5% 6% 7% 0.9709 0.9615 0.9524 0.9434 0.9346 1.9135 1.8861 1.8594 1.8334 1.8080 2.7751 2.7232 2.6730 2.6243 3.7171 3.6299 3.5460 3.4651 3:3872 4.5797 4.4518 4.3295 4.2124 4.1002 2.8286 Antwer 8% 0.9259 0.8573 0.7938 0.7350 0.6806 BN 0.9259 1.7833 2.5771 3.3121 3.9927 NIT 9% 10% 12% 09174 0.9091 0.9009 0.8929 0,8417 0.8264 08116 0,7972 0.7722 0.7513 0.7312 0.7118 0.7084 0.68.30 0.6587 0.6355 0.64990.6209 0.5935 0.5674 11% 12% 0.8929 1.6901 9% 10% 0.9174 0.9091 0.9009 1.7591 1.7355 1.7125 2.5313 2.4869 2.4437 3.2397 3.1699 3.1024 3.0373 3.8897 3.79008 3.6959 3.6048 2.40 10 I 6% 7% 5% 0.9524 15 0.9434 0.9346 16 0.9070 0.8900 0,8734 90 0.8638 0.8396 0.8163 38 0.8227 0.7921 0.7629 19 0.7835 0.7473 0.7130 3% 5% 7% 6% 0.9434 0.9346 15 0.9524 61 1.8594 1.8334 1.8080 51 2.7232 2.6730 2.6243 99 3.5460 3.4651 3.3872 18 4.3295 4.2124 4.1002 8% 0.9259 0.8573 0.7938 0.7350 0.6806 8% 0.9259 1.7833 2.5771 3.3121 3.9927 9% 10% 11% 12% 13% 14% 0.9174 0.9091 0.9009 0.8929 0.8850 0.8772 0.8417 0.8264 0.8116 0.7972 0.7831 0.7695 0.7722 0.7513 0.7312 0.7118 0.6931 0.6750 0.7084 0.6830 0.6587 0.6355 0.6133 0.5921 0.6499 0.6209 0.5935 0.5674 0.5428 0.5194 9% 10% 12% 13% 14% 11% 0.9174 0.9091 0.9009 0.8929 0.8850 0.8772 1.7591 1.7355 1.7125 1.6901 1.6681 1,6467 2.5313 2.4869 2,4437 2.4018 2.3612 2.3216 3,2397 3.1699 3.1024 3.0373 2.9745 3.8897 3.7908 3.6959 3.6048 3.5172 2.9137 3.4331 15% 0.8696 0.7561 0.6575 0.5718 0.4972 15% 0.8696 1.6257 2.2832 2.8550 3.3522 Step by Step Solution
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