Required information (The following information applies to the questions displayed below.) A company is considering investing in a new machine that requires a cash payment of $41,827 today. The machine will generate annual cash flows of $18,319 for the next three years. What is the internal rate of return of the company buys this machine? (PV of $1. FV of $1. PVA of $1, and FVA of $1) (Use appropriate factor(s) from the tables provided.) Amount invested 1 Annual Net Cash Flow - Present Value Factor 41,827 1 $ 18,319 = 2.2833 Find this factor on the appropriate table to estimate the Internal Rate of Internal Rate of Return Rate Perlods 1% 2% 3% 4% 5% 6% 7% 8% 9% 10% 12% 15% 0.9901 0.9803 0.9706 0.9610 0.9515 0.9420 0.9327 0.9235 0.9143 0.9053 0.8963 0.8874 0.8787 0.8700 0.8613 0.8528 0.8444 0.8360 0.8277 0.8195 0.7798 0.7419 0.7059 0.6717 0.9804 0.9709 0.9612 0.9426 0.9423 0.9151 0.9238 0.8885 0.9057 0.8626 0.8880 0.8375 0.8706 0.8131 0.8535 0.7894 0.8368 0.7664 0.8203 0.7441 0.8043 0.7224 0.7885 0.7014 0.7730 0.6810 0.75790.6611 0.7430 0.6419 0.7284 0.6232 0.7142 0.6050 0.7002 0.5874 0.6864 0.5703 0.6730 0.5537 0.6095 0.4776 0.5521 0.4120 0.5000 0.3554 0.4529 0.3066 0.9615 0.9246 0.8890 0.8548 0.8219 0.7903 0.7599 0.7307 0.7026 0.6756 0.6496 0.6246 0.6006 0.5775 0.5553 0.5339 0.5134 0.4936 0.4746 0.4564 0.3751 0.3083 0.2534 0.2083 0.9524 0.9070 0.8638 0.8227 0.7835 0.7462 0.7107 0.6768 0.6446 0.6139 0.5847 0.5568 0.5303 0.5051 0.4810 0.4581 0.4363 0.4155 0.3957 0.3769 0.2953 0.2314 0.1813 0.1420 0.9434 0.8900 0.8396 0.7921 0.7473 0.7050 0.6651 0.6274 0.5919 0.5584 0.5268 0.4970 0.4688 0.4423 0.4173 0.3936 0.3714 0.3503 0.3305 0.3118 0.2330 0.1741 0.1301 0.0972 0.9346 0.8734 0.8163 0.7629 0.7130 0.6663 0.6227 0.5820 0,5439 0.5083 0.4751 0.4440 0.4150 0.3878 0.3624 0.3387 0.3166 0.2959 0.2765 0.2584 0.1842 0.1314 0.0937 0.0668 0.9259 0.8573 0.7938 0.7350 0.6806 0.6302 0.5835 0.5403 0,5002 0.4632 0.4289 0.3971 0.3677 0.3405 0.3152 0.2919 0.2703 0.2502 0.2317 0.2145 0.1460 0.0994 0.0676 0.0460 0.9174 0.8417 0.7722 0.7084 0.6499 0.5963 0.5470 0.5019 0.4604 0.4224 0.3875 0.3555 0.3262 0.2992 0.2745 0.2519 0.2311 0.2120 0.1945 0.1784 0.1160 0.0754 0.0490 0.0318 0.9091 0.8264 0.7513 0.6830 0.6209 0.5645 0.5132 0.4665 0.4241 0.3855 0.3505 0.3186 0.2897 0.2633 0.2394 0.2176 0.1978 0.1799 0.1635 0.1486 0.0923 0.0573 0.0356 0.0221 0.8929 0.7972 0.7118 0.6355 0.5674 0.5056 0.4523 0.4039 0.3606 0.3220 0.2875 0.2567 0.2292 0.2046 0.1827 0.1631 0.1456 0.1300 0.1161 0.1037 0.0588 0.0334 0.0189 0.0107 0.8696 0.7561 0.6575 0.5718 0.4972 0.4323 0.3759 0.3269 0.2843 0.2472 0.2149 0.1869 0.1625 0.1413 0.1229 0.1069 0.0929 0.0808 0.0703 0.0611 0.0304 0.0151 0.0075 0.0037 . Used to compute the present value of known future mount. For example: How much would you need to invest today at 106 compounded semiannually to accumulate 5.000 in 6 years from today? Using the factors of 12 andis (12 semiannual periods and semin ate of the factor is 0 6 . You would need to invest $2.784 today (55.000 x 0.5568). Rate 7% Periods 1% 2% 3% 4% 5% 6% 8% 9% 10% 12% 15% 8 9 10 11 12 1.0000 1.0100 1.0201 1.0303 1.0406 1.0510 1.0615 1.0721 1.0829 1.0937 1.1046 1.1157 1.1268 .1381 1.1495 1.1610 1.1726 1.1843 1.1961 1.2081 1.2202 1.2824 1.3478 1.4166 14889 1.0000 1.0000 1.0200 1.0300 1.0404 1.0609 1.0612 1.0927 1.0824 1.1255 1.1041 1.1593 1.12521.1941 1.1487 1.2299 1.1717 1.2668 1.1951 1.3048 1.21901.3439 1.2434 1.3842 1.2682 1.4258 1.2936 1.4685 1.3195 1.5126 1.34591.5580 1.3728 1.6047 1.4002 16528 1.4282 1.7024 1.4568 1.7535 1.4859 18061 1.6406 2.0938 1.8114 24273 1.999928139 2.2080 3.2620 10000 10000 1.0000 1.0000 1.0400 10500 10500 10500 10700 1.0816 1.1025 1.1236 1.1449 1.1249 1.1576 1.1910 1.2250 1.1699 1.2155 1.2625 1.3108 1.2167 1.2763 1.3382 1.4026 1.2653 1.3401 1.4185 1.5007 1.3159 1.4071 1.5036 1.6058 1.3686 1.4775 1.5938 1.7182 1.4233 1.5513 1.6895 1.8385 1.4802 1.6289 1.7908 1.9572 1.5395 1.7103 1.8983 2.1049 1.6010 1.7959 20122 2.2522 1.6651 1.8856 2.1329 2.4098 1.7317 1.9799 2.2509 2.5785 1.8009 2.0789 2.3966 2.7590 18730 2.1829 2.5404 2.9522 1.9479 2.2920 2.6928 3.1588 20252 20258 24065 28543 3.3799 2.1068 25270 3.0256 3.6165 2.1911 2.6533 3.2071 3.8697 26658 3.3864 42919 5.4274 3.2434 432195.74357.6123 3.9-461 5.5160 7 686110.6756 4.80107 0400 10.2857149745 1.0000 1.0800 1.1664 1.2597 1.3605 1.4693 1.5869 1.7138 1.8509 1.9990 2.1589 2.3316 2.5182 2.7196 2.9372 3.1722 3.4259 3.7000 3.9950 4.3157 4.6610 6.8485 10.0627 14.7853 21.7245 1.0000 1.0900 1.1881 1.2950 1.4116 1.5386 1.6771 1.8280 1.9926 2.1719 2.3674 25804 2.8127 3.0658 3.3417 3.6425 3.9703 4.3275 4.7171 5.1417 5.6044 8.6231 13.2577 20.4140 31.4094 1.0000 1.1000 1.2100 1.3310 1.4641 1.6105 1.7716 1.9487 2.1436 2.3579 2.5937 2.8531 3.1384 3.4523 3.7975 4.1772 4.5950 5,0545 5.5599 6.1159 6.7275 10.8347 17.4494 28.1024 45.2593 1.0000 1.1200 1.2544 1.4049 1.5735 1.7623 1.9738 2.2107 2.4760 2.7731 3.1058 3.4785 3.8960 4.3635 4.8871 5.4736 6.1304 6.8660 7.6900 8.6128 9.6463 17.0001 29.9599 52.7996 93.0510 1.0000 1.1500 1.3225 1.5209 1.7490 20114 2.3131 2.6600 3.0590 3.5179 4.0456 4.6524 5.3503 6.1528 7.0757 8.1371 9.3576 10.7613 123755 14.2318 16.3665 32.9190 66.2118 133,1755 267.8635 13 1 15 20 Used to compute the future value of a known present amount. For example: What is the accumulated value of 53.000 invested today at 8 compounded quarterly for 5 years Using the factors of = 20 and i = 2 (20 quarterly periods and a quarterly interest rate of 25).the factor is 14859. The accumulated value is $4.457.70(53000 x 14859). Rate 7% 6% Periods 1% 2% 3% 5% 4% 4.1604 7 0.9901 1.9704 2.9410 3.9020 4.8534 5.7955 6.7282 7.6517 8.5660 9.4713 10.3676 11.2551 12.1337 13.0037 13 8651 14.7179 15.5623 16.3983 17.2260 18.0456 22.0232 25.8077 29.4086 32.8347 0.9804 0.9709 0.9615 9416 1.9135 1.8861 2.8839 2.8286 2.7751 3.8077 3.7171 3.6299 4.71354.579744518 5.6014 5.4172 5.2421 6.4720 6.2303 6 .0021 7.3255 7.0197 6.7327 8.1622 7.7861 7.4353 8.9826 8.5302 8.1109 9.7863 9.2525 8.7605 10.5753 9.9540 9.3851 11.3484 10.6350 9 .9856 12.1062 11.2961 10.5631 12 8493 11.9379 11.1184 13.5777 12.5611 11.6523 14.2919 1 3.1661 12.1657 14.9920 13.7535126593 15.6785 14.3238 13.1339 16.3514 14.8775 13.5903 19.523517413115.6221 22.3965 19.6004 17.2920 24.9986 21.4872 18.6646 27.3555 23.1148 19.7928 0.9524 0.9434 0.9346 1.8594 1.8334 1.8080 2.7232 2.6730 2.6243 3.5460 3.4651 3.3872 4.3295 4.2124 4.1002 5.0757 4.9173 4.7665 5.7854 5.5824 5.3893 6.4632 6.2098 5.9713 7.1078 6.8017 6.5152 .7217 7.3601 7.0236 8 13064 7.8869 7.4987 8.8633 8 .3838 7.9427 9.3936 8.8527 8.3577 9.8986 9.2950 8.7455 10.3797 9.7122 9.1079 10.8378 10.1059 9.4466 11.2741 10.4773 9.7632 11.6896 10.8276 10.0591 12.085311.1581 10.3356 12.4622 11.4699 10.5940 14.093912.7834 11.6536 15.3725 13.7648124090 16.3742 14.4982 12.9477 17.1591 15.0463 13.3317 9% 10% 12% 15% 0.9259 0.9174 0.9091 0.89290.8696 1.7833 1.7591 1.7355 1.6901 1.6257 25771 2.5313 2.4869 2.4018 3.3121 3.2397 3.16993.0373 3.9927 3.8897 3.7908 3.6048 3.3522 4.62294.48594.3553 4.1114 3.7845 5.2064 5.0330 4.8684 4.5638 5.7466 5.5348 5.3349 4.9676 4.4873 6.2469 5.9952 5.7590 5.3282 4.7716 6.7101 6.4177 6.1446 5.6502 5.0188 7.1390 6.8052 6.4951 5.9377 5.2337 7.5361 7.16076.8137 6.1944 5.4206 7.9038 7.48697.1034 6.4235 5.5831 8.2442 7.78627.3667 6.6282 5.7245 8.5595 80607 76051 68109 5.8474 8.8514 8.3126 78237 6.9740 5.9542 9.1216 8.5436 8.0216 7.1196 6.0472 9 .3719 8.7556 8.2014 7.2497 6.1280 9.6036 8.9501 8.3649 7.3658 6.1982 9.8181 9.1285 8.5136 7.4594 6.2593 10.6748 9.8226 9.0770 7.8431 6.4641 11.2578 10.27379.42698.0552 6.5660 11.6546 10.5668 9.6442 8.1755 6.6166 11.9246 10.7574 9.7791 8 .2438 6.6418 35 40 Used to calculate the present value of a series of equal payments made at the end of each period. For example: What is the present value of $2.000 per year for 10 years assuming an annual interest rate of 9. For (= 10,1 = 95), the PV factor is 6,4177 $2,000 per year for 10 years is the equivalent of $12,835 today ($2,000 X 64171). s e Search View Images Albert Alts CBCWeb Login Page deed search vocusign tre Previous Next Options X Find f=[(1 + 1)" - lyi TABLE B.41 Future Value of an Annuity of 1 Rate 7% 3 3 % 4% 5% 6% 8% 92 103 120 15 10 11 12 1.0000 10000 10000 10000 10000 10000 20100 2.02002.0300 20400 20500 20600 3.0301 3.0604 3.0909 3.1216 3.1525 3.1836 4.0604 4.1216 4.1836 4.2465 43101 4.3746 5.1010 5.2040 5.3091 5.4163 5.5256 5.6371 6.1520 6.3051 6.4684 6.6330 6.80196.9753 7.21357.4343 76625 7.89838.1420 8.3938 8.2857 8.5830 3.89239.214295491 9.8975 9.3685 9.7546 10.1591 10.5828 11.0256 11.4913 10.4622 10.9497 11.4639 12.0061 12.5779 13.1808 11.5668 12. 1687 12.8078 13.4864 14.2058 14.9716 12.6825 134121 14.1920 15.0258159171 16,8699 13.8093 14.6803156178 16.6268 17.7130 18.8821 14.9474 15.9739 17.0863 18.2919 19.5986 21.0151 16.0969 17.2934 18.5989 20.0236 21.5786 23.2760 17.2579166393 20.1569 21.8245 23.6575 25.6725 18.0304 20.012121.7516 23.6975 25.8404282129 19.6147 21.4123 23.4144 25.6454 28.1324 30.9057 20.8109 22.8406 25.1169 27.6712 30,5390 33.7600 22.0190 242974 26.8704 29.7781 33,0660 36.7856 10000 10000 10000 1.0000 20700 20800 2.0900 2.1000 3.2149 3.2464 3.2781 3.3100 4.4399 4.5061 4.5731 46410 5.7507 5.8666 5.9847 6.1051 7.1533 7.3359 7.5233 7.7156 8.6540 8.9228 9.2004 9.4872 10.2598 10.6356 11028511.4359 11.9780 12.4876 13.0210 13.5795 13.8164 14.4866 15.1929 15.9374 15.7836 16.5455 17.5603 18.5312 178885 18.9771 20140721.3843 201406 21.4953 229534 24.5227 22.5505 24.2149 26.0192 27.9750 25.1290 27.1521 29.360931.7725 27.8881 30.3243 33.0034 35 9497 30 3402337502 36.9737 40.5447 33.9990 37.450241.301345.5992 37.3790 41.4463 46.0185 51.1591 40,9955 45.7620 51.1601 57.2750 1.0000 2.1200 3.3744 4.7793 6.3528 8.1152 10.0890 12.2997 14.7757 17.5487 20.6546 24.1331 28.0291 32.3926 37.2797 42.7533 48.8837 55.7497 63.4397 72.0524 1.0000 2.1500 34725 4.9934 6.7424 8.7537 11.0668 13.7268 16.7858 20.3037 24.3493 29.0017 34.3519 40.5047 47.5804 55.7175 65.0751 75.8364 88.2118 102.4436 16 19 20