(a) Compute the net present value of this investment. (b) Should Gomez accept the investment? Complete this question by entering your answers in the tabs below. Required A Required B Compute the net present value of this investment. (Round your answers to the nearest whole dollar.) Present Value Net Cash Year Flows Present Value of 1 at 15% of Net Cash Flows Year 1 Year 2 Year 3 Year 4 Year 5 Totals Initial investment Net present value

You are given three investment alternatives to analyze.  The cash flows from these three investments are as​ follows:   Investment                   End of Year A     B   C       1 $ 3,000   $ 1,000 $ 5,000     2   4,000     1,000   5,000     3   5,000     1,000   (5,000)     4   (6,000)     1,000   (5,000)     5   6,000     5,000   15,000     ​(Click on the icon    in order to copy its contents into a spreadsheet.​)   What is the present value of each of these three investments if the appropriate discount rate is   14 ​percent?           Question content area bottom Part 1 a.  What is the present value of investment A at an annual discount rate of   14 ​percent?   ​$   enter your response here   ​(Round to the nearest​ cent.)

Assume that at the beginning of the year, you purchase an investment for $2,500 that pays $67 annual income. Also assume that the investment's value has decreased to $2,350 at the end of the year. a. What is the rate of return for this investment? b. Is the rate of return a positive or a negative number? Complete this question by entering your answers in the tabs below. Req 1 Req 2 What is the rate of return for this investment? Note: Enter your answer as a percent rounded to 2 decimal places. Input the amount as a positive value. Rate of return % Req 1 Req 2 >

The four people below have the following investments. Invested Amount $ 11, 200 14, 200 21, 200 17,200 Jerry Elaine George Kramer Reg 1A Required: 1-a. Calculate the future value at the end of three years. (FV of $1, PV of $1, FVA of $1, and PVA of $1) 1-b. Who has the greatest investment accumulation? Jerry Elaine Interest Rate Complete this question by entering your answers in the tabs below. Req 1B George Kramer 12% 8 7 9 Compounding Quarterly Semiannually Future Value Annually Annually Calculate the future value at the end of three years. Note: Use Excel or a financial calculator Round your answers to 2 decimal places.

A financial manager must choose between three alternative investments. Each asset    is expected to provide earnings over a three-year period as described below. Based on the wealth maximization goal, the financial manager would choose  (Justify your answer)   Year Asset X Asset Y Asset Z 1 $15,000 $ 4,000 $ 6,000 2 $9,000 $10,000 $14,000 3 $5,000 $15,000 $11,000   $29,000 $29,000 $31,000   (a)       Asset X. (b)       Asset Y. (c)       Asset Z. (d)       Be indifferent between Asset X and Asset Y

8. You are evaluating five different investments, all of which involve an upfront outlay of cash. Each investment will provide a single cash payment back to you in the future. Details of each investment appears here: 2. Calculate the IRR of each investment. State your answer to the nearest basis point (i.e., the nearest 1/100th of 1%, such as 3.76%). Review Only Click the icon to see the Worked Solution (Calculator Use). Click the icon to see the Worked Solution (Spreadsheet Use). The yield for investment A is %. (Round to two decimal places.) The yield for investment B is %. (Round to two decimal places.) The yield for investment C is %. (Round to two decimal places.) The yield for investment D is %. (Round to two decimal places.) The yield for investment E is %. (Round to two decimal places.) 2: Data Table Initial Future End of Investment Investment Value Year A $1,800 $6,387 14 B $9,500 $14,353 11 $600 $3,091 17 D $3,500 $4,505 3 E $5,800 $12,092 12 (Click on the icon located on the…

Use Table 8 to answer the next two questions. Assume the committed capital is $100, the management fee is 2.00%, and the carried interest is 20.00%. Year 2015 2016 2017 2018 2019 $5.40 What is the carried interest in 2019? Called-down Paid in capital Mgmt Fees $26 $31 $21 O $11.20 $9.12 $9.85 $10 $12 Table 8 Operating NAV before Carried NAV after Results Distributions Interest Distributions Distributions -$14 $6 $11 $41 $46 $5 $10

Assume a $55,000 investment and the following cash flows for two alternatives. Year Investment A Investment B $ 15,000 $35,000 1 2 25,000 10,000 20,000 15,000 25,000 3 4 20,000 a. Calculate the payback for investment A and B. (Round your answers to 2 decimal places.) Investment A years Investment B years b. Which investment would you select under the payback method? O Investment A O Investment B c. If the inflow in the fifth year for Investment A was $20,000,000 instead of $20,000, would your answer change under the payback method? Yes O No

Tom Alexander has an opportunity to purchase any of the investments shown in the following​ table   Investment Price Single cash inflow Year of Receipt A ​$18,000 ​$30,000 5 B ​$600 ​$3,000 20 C ​$3,500 ​$10,000 10 D ​$1,000 ​$15,000 40 The purchase​ price, the amount of the single cash​ inflow, and its year of receipt are given for each investment. Which purchase recommendations would you​ make, assuming that Tom can earn​ 10% on his​ investments? The present value of Investment A is $ The present value of Investment B is $ The present value of Investment C is $ The present value of Investment D is $ Which purchase recommendations would you​ make, assuming that Tom can earn​ 10% on his​ investments? A.Investment B B.Investments A and C C.Investments B and C D.Investment D

A3 4a. We have two mutually exclusive investments with the following cash flows:                                                                                                   Year Investment A Investment B 0 –$100 –$100 1 10 50 2 30 40 3 50 30 4 70 20 a. Using a financial calculator, calculate the IRR for each of the investments. State your answers in percentages rounded to two decimal places.