Using the following timeline cashflow (CF) are at the end of the year, how do you calculate. Please show work.
1. How do you calculate present value (PV) of the perpetuity in year-end 3.
1) You are given the following time line; CFs are at the end of the year. Years: 0 1 2 CF SS 3 4 0 5 0 -on--> 0 0 100 100 This is a perpetuity that starts in year 4 end The required return is; 100 6.00% Calculate the PV of the perpetuity in year-end 3 (begin 4) at the required return: What is the present value at t = 0?2) You are given the following time line; CFs are at the end of the year. Years: 0 1 2 3 4 5 CF $5 0 1500 1500 3000 4500 5000 Rate: 12.00% a) Calculate the PV of the CFS31 You are given the following time line; CFs are at the end of the year. Years: 0 1 2 3 4 5 CF SS (10,000.00) 1500 1500 3000 4500 5000 Rate: 12.00% a) Calculate the PV of the CFS b) If the CFs in this problem were part of a Net Present Value (NPV) calculation, what would be the NPV of this calculation? c) What is the IRR of the CFS?4) A coupon bond pays this amount every 6 months; S 30.00 for the number of payments/year; 2 The bond also pays at maturity the par (face) value; $ 1,000.00 Number of years until maturity 15 The required return of holders of this bond is; 8.00% What is the PV of the CFs, or what would be the fair price to purchase this bond? b) If the required return of holders of this bond is; 6.00% What is the PV of the CFs, or what would be the fair price to purchase this bond? c) If the required return of holders of this bond is; 4.00% What is the PV of the CFs, or what would be the fair price to purchase this bond? d) If the previous bond sells for; S (976.00) What must be the yield to maturity for this bond (aka IRR) ? (to nearest b.p.)'Using an online tool like Calculator Soup 'Calculate the FV of an annuity that grows. The person will save $200 at the end of the first month. They will increase their savings by 1.0% per month. [2nd month will be $202.00, etc.) Interest will be compounded monthlyr and earn an average annual rate of 'What will be the future value of this person's retirement aocou nt in 20 yea rs . If they followed this plan, what would be their 240th [last] deposit amount? 'What would be the F'uIr if they did not increase the savings per month and their monthly contribution remained at $200fmo