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kobusy [5.1K]
3 years ago
9

What is the present value of the following cash flows at a discount rate of 9 percent?

Business
1 answer:
frutty [35]3 years ago
4 0

Answer:

Year 1 PV = 91,743.12

Year 2 PV =126,251.99

Year 3 PV =  154,436.70  

Explanation:

<em>The present value of future sum is the amount that ought to be invested today at interest rate compounded annually to equal the sum at the end of a particular period.</em>

The present value of a future sum is given as follows:

PV = FV × PV (1+r)^(-n)

PV - present value

FV - Future value

r- interest rate

n- number of years

Year 1 PV = 100,000× 1.09^(-1) =91,743.12

Year 2 PV = 150,000× 1.09^(-2) =126,251.99

Year 3 PV = 200,000× 1.09^(-3) =  154,436.70  

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Answer:

The answer is "Option c"

Explanation:

The Dividend payout ratio is 40% so that EPS* is the dividend payout ratio of the company:

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Where r = return rate is needed

g= growth = 5.25\% = \frac{5.25}{100} = 0.0525

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6 0
3 years ago
What does the international banking system consist of?
Vladimir79 [104]

Answer: financial aid mostly

Explanation:

3 0
3 years ago
The basic concepts of financial management are the same for all businesses, regardless of how they are organized. However, a fir
My name is Ann [436]

Answer:

1) - proprietorships.

2) - corporations.

3) - proprietorships.

4) - corporations.

Explanation:

So far as figures are concerned, the majority of companies are proprietorships. Even so, mostly based on currency sales revenue, almost all of the trade is conducted by corporations. Businesses are mostly founded as proprietorships and only transformed into corporations until their success results in drawbacks that overshadow the benefits.

So, the following are the reason that describes the following answers are true according to the given scenario.

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3 years ago
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kap26 [50]

Answer:

weak

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Therefore the weak should be the term that should be applied in the current situation

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