Present value of a mixed stream

Managerial Finance Assignment.Please finish the questions in the excel file attached in this assignment.
Subject
Business Finance

Course
Managerial Finance

Question Description
Requirements: 1. show all the work in the excel file and submit the file through Canvas once you finish.

2. you can either do everything using formulas we learned in class; or you can learn how to use simple functions in excel from the PowerPoint slides or the book to do all the questions.

Contents Problem 5-4 Problem 5-7 Problem 5-11 Problem 5-17 Problem 5-19 Problem 5-20 Problem 5-30 Problem 5-32 Problem 5-34 Problem 5-36 Problem 5-39 Problem 5-44 Problem 5-47 Problem 5-51 Problem 5-4 Future values. For each of the cases shown in the following table, calculate the future value of until the end of the deposit period if the interest is compounded annually at the rate specified. Case A B C D E F Single cash flow ($) 200 4,500 10,000 25,000 37,000 40,000 Interest rate (%) 5 8 9 10 11 12 following table, calculate the future value of the single cash flow deposited today and held compounded annually at the rate specified. Deposit period (years) 20 7 10 12 5 9 Problem 5-7 Time value. You can deposit $10,000 into an account paying 9% annual interest either today or off will you be at the end of 40 years if you decide to make the initial deposit today rather than 1 Solution Initial deposit Annual interest rate Number of years, scenario 1 Number of years, scenario 2 Future value, scenario 1 Future value, scenario 2 Difference $10,000 9.0% 40 30 interest either today or exactly 10 years from today. How much better posit today rather than 10 years from today? Problem 5-11 Present values. For each of the cases shown in the following table, calculate the present value o and assuming that the cash flow is received at the end of the period noted. Case A B C D E Single cash flow $7,000 28,000 10,000 150,000 45,000 Discount rate 12% 8 14 11 20 End of period (years) 4 20 12 6 8 culate the present value of the cash flow, discounting at the rate given ed. Problem 5-17 Cash flow investment decision. Tom Alexander has an opportunity to purchase any of the inve purchase price, the amount of the single cash inflow, and its year of receipt are given for each in would you make, assuming that Tom can earn 10% on his investments? Investment A B C D Price $18,000 600 3,500 1,000 Single cash inflow $30,000 3,000 10,000 15,000 Year of receipt 5 20 10 40 nity to purchase any of the investments shown in the following table. The r of receipt are given for each investment. Which purchase recommendations ments? Problem 5-19 Future value of an annuity. For each case in the accompanying table, answer the questions tha Case A B C D E Annuity payment ($) 2,500 500 30,000 11,500 6,000 Interest rate (%) 8 12 20 9 14 a. Calculate the future value of the annuity, assuming that it is (1) An ordinary annuity. (2) An annuity due. b. Compare your findings in parts a(1) and a(2). All else being identical, which type of annuity Explain why. accompanying table, answer the questions that follow. Annuity length (years) 10 6 5 8 30 ming that it is All else being identical, which type of annuity—ordinary or annuity due—is preferable? Problem 5-20 Present value of an annuity. Consider the following cases. Case A B C D E Annuity payment $12,000 55,000 700 140,000 22,500 Interest rate 7% 12 20 5 10 Annuity length (years) 3 15 9 7 5 a. Calculate the present value of the annuity, assuming that it is (1) An ordinary annuity. (2) An annuity due. b. Compare your findings in parts a(1) and a(2). All else being identical, which type of annuity—ordinary or annuity due—is preferable? Explain why. cal, which type Problem 5-30 Value of a mixed stream. For each of the mixed streams of cash flows shown in the following the final year if deposits are made into an account paying annual interest of 12%, assuming that that the deposits are made: a. At the end of each year (i.e., the first deposit occurs 1 year from now).