What is the present value of investment

Assignment Help Financial Management
Reference no: EM131329948

You have just purchased an investment that generates the following cash flows for the next four years. You are able to reinvest these cash flows at 6.3 percent, compounded annually.

End of year

1. $1,280

2. $3,428

3. $1,536

4. $3,113

What is the present value of this investment if 6.3 percent per year is the appropriate discount rate?

Reference no: EM131329948

Questions Cloud

Define and explain the term trauma : Using your own words, define and explain the term trauma. Then, based on the articles Mental Health Risk and Protective Factors, Risk and Protective Factors for Mental, Emotional, and Behavioral Disorders Across the Life Cycle
What is the capability maturity model integrated : What is the Capability Maturity Model Integrated (CMMI), and which organization is responsible for its development?
Provide a description of the macroeconomic environment : Does the production process of the business generate any positive or negative externalities? If negative, has the government (or anyone else) put in place any measures to mitigate?
Estimate the residual molar energy of a crystal : In adiabatic demagnetization, we use a magnetic ield to couple away almost all of the residual energy of a crystal that has been cooled to 2.2 K by liquid helium.
What is the present value of investment : You have just purchased an investment that generates the following cash flows for the next four years. You are able to reinvest these cash flows at 6.3 percent, compounded annually. What is the present value of this investment if 6.3 percent per year..
Explain your initial impression of the organization : Explain your initial impression of the organization based upon your initial review of their corporate website. Analyze their Vision, Mission and Goals in reference to the company's competitive strategy, branding and messaging
Dwsign an incident response plan : Dwsign an incident response plan for your home computer. Include actions to be taken if Virus attack, Power failure events occur.
What is banning or destruction of religious images called : What is the banning or destruction of religious images called? What is a place of worship where Muslims gather on Fridays? Which Islamic art form was most well-known and accepted best in Europe?
Permanent magnet and an electromagnet : Discuss the difference between a permanent magnet and an electromagnet.  What are some practical applications of each?

Reviews

Write a Review

Financial Management Questions & Answers

  Foreign company acquisition

Acquisition by a foreign company and the effects of that decision and the results of foreign exchange in Euro and the exchange rate differences.

  Financial management for profit and non profit organizations

In this essay, we are going to discuss the issues of financial management in a non-profit organisation.

  Method for estimating a venture''s value

Evaluate venture's present value, cash and surplus cash and basic venture capital.

  Replacement analysis

This document show the Replacement Analysis of modling machine. Is replacement give profit to company or not?

  Business finance task - capital budgeting

Your company is considering using the payback period for capital-budgeting. Discuss the advantages and disadvantages of this technique.

  Analysis of the investment

In this project, you will focus on one of these: the additional cost resulting from the purchase of an apple press (a piece of equipment required to manufacture apple juice).

  Conduct a what-if analysis

Review the readings and media for this unit, including the Anthony's Orchard case study media. Familiarise yourself with the Anthony's Orchard company and its current situation.

  Determine operational expenditures

Organisations' behaviour is guided by financial data. In the short term, such data will help determine operational expenditures; in the long term, historical data may help generate forecasts aimed at determining strategic plans. In both instances.

  Personal financial management

How much will you have left over each half year if you adopt the latter course of action?

  Sources of finance for expansion into new foreign markets

A quoted company is considering several long-term sources of finance for expansion into new foreign markets.

  Long term financial planning

This assignment is designed for analyze Long term financial planning begins with the sales forecast and the key input in the long term fincial planning.

  Explain the role of fincial manager

This assignment explain the role of fincial manager, function of manger. And what are the motives of financial manager.

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd