Need help with finance home work due friday. chapter 9

Chapter 9

9.1 Find the following values for a lump sum assuming annual compounding

A.     The future value of $500 invested at 8 percent for one

B.     The  future value of $500 invested at 8 percent for five

C.     The future value of $500 to be received in one year when the opportunity cost rate is 8 percent

D.    The present value of $500 to be received in five years when the opportunity cost rate is 8 percent

 

9.2 Repeat problem 9.1 but assume the following compounding conditions:

A.    Semiannual

B.     Quarterly

 

9.7 consider another uneven cash flow stream:

           

                Year                            cash flow

0                                                                      $2,000

1                                                                      2,000

2                                                                      0

3                                                                      1,500

4                                                                      2,500

5                                                                      4,000

    1. What is the present (year 0) value of cash flow stream if the opportunity cost rate is 10 percent?
    1. What is the future (year 5) value of the cash flow stream if the cash flows are invested in an account that pays 10 percent annually?
    1. What is the cash flow today (year 0) in lieu of the $2,000 cash flow, would be needed to accumulate $20,000 at the end of year 5? ( assume that the cash flows for years 1 through 5 remain the same)
    1. Time value analysis involves either discounting or compounding cash flows. Many healthcare financial management decisions such as bond refunding, capital investment and lease versus buy involve discounting projected future cash flows. What factors must executives consider when choosing a discount rate to apply to forecasted cash flows?

9.11 consider the following investment cash flows

 

 

Year              cash flow

0                                    ($1,000)

1                                     250

2                                    400

3                                    500

4                                    600

5                                    600

    1. What is the return expected on this investment measured in dollars terms if the opportunity cost rate is 10 percent?
    1. Provider an explanation in economic terms, of your answer
    1. What is the return on this investment measured in percentage terms?
    1. Should this investment be made? Explain your answer

 

 







Calculate Your Essay Price
(550 words)

Approximate price: $22

Calculate the price of your order

550 words
We'll send you the first draft for approval by September 11, 2018 at 10:52 AM
Total price:
$26
The price is based on these factors:
Academic level
Number of pages
Urgency
Basic features
  • Free title page and bibliography
  • Unlimited revisions
  • Plagiarism-free guarantee
  • Money-back guarantee
  • 24/7 support
On-demand options
  • Writer’s samples
  • Part-by-part delivery
  • Overnight delivery
  • Copies of used sources
  • Expert Proofreading
Paper format
  • 275 words per page
  • 12 pt Arial/Times New Roman
  • Double line spacing
  • Any citation style (APA, MLA, Chicago/Turabian, Harvard)

Our guarantees

Delivering a high-quality product at a reasonable price is not enough anymore.
That’s why we have developed 5 beneficial guarantees that will make your experience with our service enjoyable, easy, and safe.

Money-back guarantee

You have to be 100% sure of the quality of your product to give a money-back guarantee. This describes us perfectly. Make sure that this guarantee is totally transparent.

Read more

Zero-plagiarism guarantee

Each paper is composed from scratch, according to your instructions. It is then checked by our plagiarism-detection software. There is no gap where plagiarism could squeeze in.

Read more

Free-revision policy

Thanks to our free revisions, there is no way for you to be unsatisfied. We will work on your paper until you are completely happy with the result.

Read more

Privacy policy

Your email is safe, as we store it according to international data protection rules. Your bank details are secure, as we use only reliable payment systems.

Read more

Fair-cooperation guarantee

By sending us your money, you buy the service we provide. Check out our terms and conditions if you prefer business talks to be laid out in official language.

Read more

Order your essay today and save 10% with the coupon code: best10