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- An investment of P350,000 is made to be followed by payments of P200,000 each year for 3 years. What is the annual rate of return on investment for the project? Please include cash flow diagram.Answer the following: Show the cash flow diagram and solutions. I recieve PHP 500K 15 years from now. What amount should i invest if it will earn interest of 16% compounded annually during the 7years and 12 compounded quarterlyduring the next 7years?What is the present value of a perpetuity stream of cash flows that pays P1,000 at the end of year one, and the annual cash flows grow at a rate of 4% per year indefinitely, if the appropriate discount rate is 8%?
- For how many years must an investment of Php63,000 provide a continuous flow of funds at the rate of Php16,000 per year so that nominal rate of 10% continuously compounded, will be earned?Draw the necessary cash flow diagrams. Prob#1: Determine the present worth of an annual payment of P 4500.00 : If made at the beginning of the year for 12 years at 8% compounded annually. If made at the end of each month for 5 years at 4% compounded monthly. If 15 payments start at the end of year 4 at 6% compounded annually.Find the present value of a cash flow stream which pays $5000 at the end of every year for 15 years at an interest rate of 9%?
- Based on the following table, what is the approximate Internal Rate of Return (IRR) for a project that costs $189,000 and provides annual cash inflows of $70,000 for 3 years? (See your Chapter 25 notes, page 8) Rate of Present Value of an AnnuityReturn of $1 Received for Three Years 4% 2.8 6% 2.7 8% 2.6 10% 2.5 12% 2.4 14% 2.3 16% 2.2 20% 2.1 16 percent 10 percent 8 percent 14 percent 4 percent 20 percent 12 percent 6 percentAn investment project provides cash inflows of $ 504 per year for 5 years. What is the NPV of the project if the initial cost is $ 1,082 , assuming a 12.5 percent required rate of return?Determine the present worth of a maintenance contract that has a cost of $30,000 in year 1 andannual increases of 6% per year for 10 years. Use an interest rate of 6% per year. Draw a cash flow diagram.
- Cash of Php 50,000 invested today will realized an annual cash returns for five (5) years at 8% rate of return. How much must be the annual cash returns?Kindly create the cashflow diagram of the problem below. Determine the present worth and the accumulated amount of an annuity consisting of 6 payments of P120, 000 each, the payment is made at the beginning of each year. Money is worth 15% compounded annually.Calculate the Present value of Rs. 100,000 at the rate of 15% paidto you in 5 years. Calculate the present value of each cash flow?