What is the present value of this cash flow pattern

Assignment Help Financial Management

Reference no: EM131185864

You have been offered the opportunity to invest in a project that will pay $1,096 per year at the end of years one through three and $12,706 per year at the end of years four and five. If the appropriate discount rate is 10.4 percent per year, what is the present value of this cash flow pattern? Round the answer to two decimal places.

Reference no: EM131185864

Questions Cloud

Write hot technologies executive summary : You have been hired by the organization of your choice. Your job is to bring them into the 21st century in terms of supporting their staff with state-of-the-art hardware. Write a 700- to 1,050-word Hot Technologies Executive Summary.

Determine price inflation in a martket : Describe at least three methods that can be used to determine price inflation in a martket?

What is the profit maximizing solution : The firm for which you are a manager operates in a perfectly competitive market. The market price for this perfectly competitive firm is P = $14. You are also given your estimated total cost curve, C(Q) = 10 + 4Q + 0.5Q2.

The revenue-maximizing level of output : With the following demand curve, P = 63 - 5Q and a cost structure given by the following cost function, C = 10 + 3Q, determine: The revenue-maximizing level of output.

What is the present value of this cash flow pattern : You have been offered the opportunity to invest in a project that will pay $1,096 per year at the end of years one through three and $12,706 per year at the end of years four and five. If the appropriate discount rate is 10.4 percent per year, what i..

Manager of a two plant firm : The manager of a two plant firm needs to decide how much to produce in each plant. According to an economist the demand curve for the firm's product was estimated to be P = 78 - 15Q, Q is equal to the output in plan 1 plus output in plant 2 such t..

What will the book value of this equipment : Meister Cheese Company is considering an investment in new equipment that costs $20,740,000. It will be used for 4 years and qualifies as seven-year MACRS property. What will the book value of this equipment be at the end of four years?

What are the options to consider to ensure digital privacy : What are the issues of concern raised around digital materials? What are the options to consider to ensure digital privacy? What is digital legacy

Pharmacist in a small mid-western small town : Assume that you are the only pharmacist in a small mid-western small town. You know that the closest pharmacy is about 50 miles away. There are two population groups in your town.

User Account

All Pages