ACC206 Chapter 8 Solutions (5 Questions)

ACC206 Chapter 8 Solutions (5 Questions) in $50 only

1. Basic present value calculationsCalculate the present value of the following cash flows, rounding to the nearest dollar:a. A single cash inflow of $12,000 in five years, discounted at a 12% rate of return.b. An annual receipt of $16,000 over the next 12 years, discounted at a 14% rate of return.c. A single receipt of $15,000 at the end of Year 1 followed by a single receipt of $10,000 at the end of Year 3. The company has a 10% rate of return.d. An annual receipt of $8,000 for three years followed by a single receipt of $10,000 at the end of Year 4. The company has a 16% rate of return.

2. Cash flow calculations and net present value

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