Single Cash FlowPresent ValueInputsSingle Cash FlowDiscount Rate/Period$806%Number of PeriodsPresent Value using a Time LinePeriod1245Cash Flows8080808080Present Value of Each Cash Flow75.4717 71.19972 67.16954 63.36749 59.78065Present ValuePresent Value using the FormulaPresent ValuePresent Value using the PV FunctionPresent Value PRESENT VALUE1. A cash flow of $1,000.00 will be received in period 5. For this cash flow, the appropriate discount rate/period is 6.0%.What is the present value of this single cash flow? Use worksheet "Single-PV".2. An annuity pays $80.00 each period for 5 periods. For these cash flows, the appropriate discount rate/period is 6.0%.What is the present value of this annuity? Use worksheet "Annuity-PV".

1. Present value can be calculated by discounting the future cash flow using the appropriate…

Answered: 1. A cash flow of $1,000.00 will be…

Principles of Accounting Volume 2

19th Edition

ISBN:9781947172609

Author:OpenStax

Publisher:OpenStax

Chapter11: Capital Budgeting Decisions

Section: Chapter Questions

Problem 13MC: Which of the following discounts future cash flows to their present value at the expected rate of...

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