The PV of the following cash flow stream is $7,300 when discounted at 8 percent annually. What
Question:
The PV of the following cash flow stream is $7,300 when discounted at 8 percent annually. What is the value of the missing cash flow?
Year Cash flow
1.......................$1,500
2................................?
3.........................2,700
4........................2,900
Fantastic news! We've Found the answer you've been seeking!
Step by Step Answer:
Answer rating: 54% (11 reviews)
The time line is We are given the total PV of all four cash f...View the full answer
Answered By
Chiranjib Thakur
I have no tutoring experience yet, but I can share my skills and knowledge gained from my education and work experiences. I have been a CPA since 2012 with 6 years of work experience in internal auditing and 4 years of work experience in accounting at the supervisory level.
5.00+
1+ Reviews
10+ Question Solved
Related Book For
Corporate Finance
ISBN: 978-0071339575
7th Canadian Edition
Authors: Stephen Ross, Randolph Westerfield, Jeffrey Jaffe, Gordon Ro
Question Posted:
Students also viewed these Accounting questions
-
The present value of the following cash flow stream is $5,985 when discounted at 10 percent annually. What is the value of the missing cash flow? YEAR CASH FLOw $1,750 1,380 2,230
-
The present value of the following cash flow stream is $8,400 when discounted at 9 percent annually. What is the value of the missing cash flow? Year Cash Flow 1......$2,000 2........ ?...
-
The present value of the following cash flow stream is $6,200 when discounted at 9 percent annually. What is the value of the missing cash flow? Year.........................................Cash Flow...
-
Mr. Ajay's trial balance is as follows. Trial Balance for the year ended 31st March, 2017 Amt Debit Balances To Opening Stock To Purchases To Wages To Investment To Carriage outwards To Printing and...
-
Government deficits and surpluses are expressed throughout this chapter as percents of natural GDP. Explain why it is necessary to express government deficits and surpluses in this manner in order to...
-
Speaker Shop, Inc., sells and installs audio equipment. Speaker Shop, Inc.'s entire inventory was destroyed during a recent fire that occurred in its warehouse. Speaker Shop, Inc.'s accounting...
-
An increase in a firms growth rate _________ the PEG ratio and _________ the P/S ratio.
-
Journal entries for warranty liabilities and subsequent expenditures. Miele Company is a German family-owned appliance business. Assume that Miele provides a two-year warranty on its products and...
-
Kevin invested $1,000 in large U.S. stocks at the beginning of 2012. This investment earned 16.30 percent in 2012, 32.70 percent in 2013, 11.40 percent in 2014, and 3.00 percent in 2015. What return...
-
The results of a census of 2,500 employees of a mid-sized company with 401(k) retirement accounts are as follows: Suppose researchers are going to sample employees from the company for further study....
-
What is the relationship between the value of an annuity and the level of interest rates? Suppose you just bought a 15-year annuity of $6,800 per year at the current interest rate of 10 percent per...
-
You just won the Ontario Lottery. You will receive $1 million today plus another 10 annual payments that increase by $275,000 per year. Thus, in one year you receive $1.275 million. In two years, you...
-
Pixie Group, a consumer electronics conglomerate, is reviewing its annual budget in wireless technology. It is considering investments in three different technologies to develop wireless...
-
10.1 Learning Outcomes: Describe managers' appropriate use of power and influence. Identify traits and characteristics of successful leaders. Identify behaviors of successful leaders 10.2 Action...
-
Suppose Ron went to Rio de Janeiro in 2019 when the dollar was worth 4 reals. The price of a cup of coffee at Starbucks in the US was $4, so when Ron converted $4 into reals he had 16 reals, which...
-
The expected annual net income is $200,000; the average investment is $800,000; and depreciation expense is $50,000. Calculate the annual rate of return.
-
How do you define humanities?
-
Write the types of partners ?
-
The yaw damper assists in the mitigation of which coupled effect of roll and yaw? a. Spiral divergence b. Directional divergence c. Dutch roll
-
How do network effects help Facebook fend off smaller social-networking rivals? Could an online retailer doing half as much business compete on an equal footing with Amazon in terms of costs? Explain.
-
A vessel contains \(6 \mathrm{~m}^{3}\) of air at a pressure of \(500 \mathrm{kPa}\). If one-fifth of the air be removed by an air pump, what will be the pressure of the remaining air, the...
-
In preparing a balance sheet, why do you think standard accounting practice focuses on historical cost rather than market value?
-
In preparing a balance sheet, why do you think standard accounting practice focuses on historical cost rather than market value?
-
In preparing a balance sheet, why do you think standard accounting practice focuses on historical cost rather than market value?
-
A firm purchased a new piece of equipment with an estimated useful life of eight years. The cost of the equipment was $65,000. The salvage value was estimated to be $10,000 at the end of year 8....
-
5. Which of the following is the cheapest for a borrower? a. 6.7% annual money market basis b. 6.7% semi-annual money market basis c. 6.7% annual bond basis d. 6.7% semi-annual bond basis.
-
Waterloo Industries pays 30 percent corporate income taxes, and its after-tax MARR is 24 percent. A project has a before-tax IRR of 26 percent. Should the project be approved? What would your...
Study smarter with the SolutionInn App