Question
Question 4: For the following cash flow stream, calculate the following, assuming a 10% interest rate: The present value The future value at year 10
Question 4:
For the following cash flow stream, calculate the following, assuming a 10% interest rate:
The present value
The future value at year 10
The equivalent value at year 6
Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 |
Cash Flow ($) | 1453 | 1762 | 1679 | 1982 | 2130 | 2498 | 2356 | 2789 | 2873 | 3120 |
Question 5:
Calculate the present value of the following mixed cash flow stream assuming a 12% interest rate.
Year | 0 | 1 | 2 | 3 | 4 | 5 |
-$20,000.00 | $5,400.00 | $5,200.00 | $5,800.00 | $6,200.00 | $5,800.00 |
Question 6:
For the following cash flow stream, calculate the present value if the interest rate for years 1 through 5 is estimated to be 5% and the interest rate from years 6 through 10 is estimated to be 10%.
Year | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 |
CF ($) | 2300 | 2400 | 2200 | 1900 | 2500 | 2300 | 2600 | 2600 | 2600 | 2600 |
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