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vichka [17]
3 years ago
15

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 places.)
Year Cash Flow
1 $250
2 450
3 350
Business
1 answer:
kodGreya [7K]3 years ago
6 0

Answer:

Total PV= $948.6

Explanation:

Giving the following information:

Year Cash Flow

1 $250

2 450

3 350

Interest rate= 5%

<u>To calculate the present value, we need to use the following formula on each cash flow:</u>

PV = Cf/(1+i)^n

PV1= 250/1.05= 238.1

PV2= 450/1.05^2= 408.16

PV3= 350/1.05^3=  302.34

Total PV= $948.6

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How many european union countries use the euro as their official currency?
BlackZzzverrR [31]

Answer:

19

Explanation:

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6 0
3 years ago
Company J must choose between two alternate business expenditures. Expenditure 1 would require a $80,000 cash outlay and Expendi
Tanya [424]

Answer:

A. 25%

B. 50%

C. 48000 after tax cash flow

Explanation:

a. lets assume marginal tax rate is X%

After tax cash flow of 80000 should equal to 60000$

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80000*X% = 80000-60000

80000*X% =20000

X = 20000/80000

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b.

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40000*x%=20000

x%=50%

c.

$80000- [$80000*x] = 60000 - [60000*50%*x]

80000-60000 = [80000*x] - [30000*x]

20000 = 50000x

x=40%

check

80000-40% =48000 after tax cash flow

60000*50%

=60000- [60000*50%*40%]

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6 0
2 years ago
When a company chooses to market a product in certain parts of the country but not in others because consumer preferences of one
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When a company chooses to market a product in certain parts of the country but not in others because consumer preferences of one region differ from another region, it is known as geographic segmentation.

<h3>What are consumer preferences?</h3>

The products or commodities, which are demanded by consumers in a specific quantity at a given price due to the utility it brings to an individual consumer, is known as a consumer preference.

Hence, option A holds true regarding consumer preference.

Learn more about consumer preferences here:

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Which of the following is the pursuit of the highest standard for what we should believe?
Paul [167]

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4 0
3 years ago
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