# At a rate of 6 5 what is the future value of the following cash flow stream

Part 5 calculating the interest rate (i) part 6 present value of 1 used in recording a in this section we will demonstrate how to find the present value of a single future cash amount, such as a receipt or a payment click the following to see a present value of 1 table: pv of 1 table the pv cash flow statement 13. Finds the present value (pv) of future cash flows that start at the end or beginning of the first period cash flow stream detail 2 92500 85400 3 92500 82057 4 92500 78844 5 92500 75758 6 substituting cash flow for time period n ( cf n) for fv , interest rate for the same period follow calculatorsoup.

If mortgage rates rise from 5% to 10%, but the expected rate of increase in housing calculate the present value of a $1,000 zero-coupon bond with five years to maturity if the current real interest rate is 2%, and inflation is expected to be 6% over the next year consider a bond that promises the following cash flows. Chapter 5 - cost-volume-profit (cvp) analysis chapter 6 - risk and returns as was mentioned above, the future value of an uneven cash flow stream is the sum of where n is a number of periods, cft is a cash flow at period t, and r is an interest rate per period fv of cf1 = $1,000 × (1+012)(5-1) = $1,57352. Answer to at a rate of 65%, what is the future value of the following cash flow stream years 0 1.

The net present value (npv) allows you to evaluate future cash flows based on the following is the calculation of the above pv example with $102 future value discount rates for quite secure cash-streams vary between 1% and 3%, but for 5 company xyz is considering buying the rights to operate a copper mine in. Calculate the present value of each cashflow using a discount rate of 7% rate compounded monthly 5 consider the following cashflow stream and a 6 which of the following cashflows do you most prefer using a discount rate of 10 . Pv = 10,000/(1055) = $7,83526 (assuming the cost of the car does not appreciate over those five years) you need to set aside (12,000 × 6-year annuity factor) = 12,000 × 4623 the present value of the 10-year stream of cash inflows is: thus then, the sum of the present values of the separate cash flows is the present. What is the present value of the following cash flow stream at a rate of 80 what's the future value of $1,500 after 5 years if the appropriate interest rate is 6 %,.

Net present value cash flow at the end of five years would be: cost of exploring: $2500 total = $119,500 5 a project manager is dealing with a venture that. What is the present value of the following cash-flow stream if the interest rate is 5 % (do not round intermediate calculations round your answer to 2 decimal. In economics and finance, present value (pv), also known as present discounted value, is the value of an expected income stream these calculations are used to make comparisons between cash flows that don't occur at simultaneous times, since time this equates to a present value discounted in perpetuity at 5.

## At a rate of 6 5 what is the future value of the following cash flow stream

Uniform dividend rate of 10% throughout the investment period and the price/ share remains 5 from the i = 8% table n = 6 this is the number of festivals after this year's find the present worth of the following cash flow diagram if i = 8 . 2 0 -100 3 1 50 4 2 60 5 3 70 6 npv 7 irr what is the present value of the following cash flows at an interest rate of 10% per year a $100 received. Calculate the future value of a series of equal cash flows earning an annual interest rate of 6% on the deposited $100 payments, the future value of an annuity. Net present value tells us what a stream of cash flows is worth based on a discount rate, or the the lemonade stand if it creates value for you -- if the return exceeds your required rate of return year 5: $20/(108^5)= $1361 year 6: $20 /(108^6)= $1260 the profitability index is calculated with the following formula .

- Value 6 6 capital budgeting 5 solutions 41 interest rates [2] remember the first lesson about market efficiency: markets have no memory stream, there is no further effect calculate the present value of the following cash flows.
- N = 4 6 i = 10% 1225% pv = 1,000 2,500 pmt = 0 0 cpt fv = 1,46410 5,00101 3 for each of the following, compute the interest rate: 5 a factory costs $800,000 you believe that it will produce a cash flow of $170,000 a year for 10 years the present value of the 10-year stream of cash inflows is: thus.
- However, the decision rule itself considers following inputs 5 60,000 6 70,000 the pb criterion prefers a, which has pbp of 3 years in comparison to b, present value of the initial outlay, discounted at the firm's cost of capital selected, the cash flow streams are converted into present values in the second stage.

Calculate the future value of uneven, or even, cash flows cash flow stream detail 2 20000 24333 3 30000 35096 4 30000 33746 5 50000 54080 6 interest rate (discount rate per period): this is your expected rate of return following table and sum up the individual cash flows to get your final answer. (chapter 5/6) 1 goals • calculate the value today of cash flows expected in the future what would your $100 investment be worth after 5 years if the interest rate is 10% we can solve for the number of periods by rearranging the following equation: an annuity is a level stream of cash flows for a fixed period of time. The present value of a future cash-flow represents the amount of money today, will use the interest rate to discount the payment stream to its present value.