Question 8TIME VALUE OF MONEYYou have an opportunity to invest in a business venture. For just $50,000 invested on January 1st, you will receive $20,000 in after-tax cash flows per year on December 31st for 3 years.As you know, if all you cared about was a Nominal Payback Period of “less than 3 years” for your investments, then this would be a good investment since $50,000 / $20,000 = 2.50 years.However, your financial advisor has told you to consider the “Time Value of Money” whenever looking at a potential investment.Your advisor suggests that you use Present Value factors at 10%.Yr 1 = 0.909, Yr 2 = 0.826, and Yr 3 = 0.751Using these factors, what is the Present Value of your annual cash payments (the sum of the annual benefits)?$49,720$31,540$34,700$60,0000.4 points Question 9You have an opportunity to invest in a business venture. For just $50,000 invested on January 1st, you will receive $20,000 in After-Tax Cash Flows per year on December 31st for 3 years.As you know, if all you cared about was a Nominal Payback Period of “less than 3 years” for your investments, then this would be a good investment since $50,000 / $20,000 = 2.50 years.However, your financial advisor has told you to consider the “Time Value of Money” whenever looking at a potential investment.Your advisor suggests that you use Present Value factors at 10%.Yr 1 = 0.909, Yr 2 = 0.826, and Yr 3 = 0.751Using these factors, what is the Net Present Value of this investment opportunity?Net Present Value $10,000Net Present Value <$280>Net Present Value $99,720Net Present Value $110,0000.4 points Question 10TIME VALUE OF MONEYYou have an opportunity to invest in a business venture. It requires a $250,000 investment on January 1st. You will receive $70,000 in After-Tax Cash Flows per year on December 31st for 3 years.At the end of 3 years, the project will be terminated, and all assets liquidated.The net terminal value is $80,000.Although the sum of all these cash receipts is $290,000, you realize that the Time Value of Money concept means that those future cash receipts are worth less in “today” dollars. Therefore, for all investment opportunities, you use 10% to analyze the current (i.e., present) value of all future cash flows.The Present Value factors at 10% are Yr 1 = 0.909, Yr 2 = 0.826, and Yr 3 = 0.751Using those factors, what is the Net Present Value of this investment opportunity?Net Present Value $484,100Net Present Value $254,020Net Present Value <$15,900>Net Present Value $4,020
Our Service Charter
-
Excellent Quality / 100% Plagiarism-Free
We employ a number of measures to ensure top quality essays. The papers go through a system of quality control prior to delivery. We run plagiarism checks on each paper to ensure that they will be 100% plagiarism-free. So, only clean copies hit customers’ emails. We also never resell the papers completed by our writers. So, once it is checked using a plagiarism checker, the paper will be unique. Speaking of the academic writing standards, we will stick to the assignment brief given by the customer and assign the perfect writer. By saying “the perfect writer” we mean the one having an academic degree in the customer’s study field and positive feedback from other customers. -
Free Revisions
We keep the quality bar of all papers high. But in case you need some extra brilliance to the paper, here’s what to do. First of all, you can choose a top writer. It means that we will assign an expert with a degree in your subject. And secondly, you can rely on our editing services. Our editors will revise your papers, checking whether or not they comply with high standards of academic writing. In addition, editing entails adjusting content if it’s off the topic, adding more sources, refining the language style, and making sure the referencing style is followed. -
Confidentiality / 100% No Disclosure
We make sure that clients’ personal data remains confidential and is not exploited for any purposes beyond those related to our services. We only ask you to provide us with the information that is required to produce the paper according to your writing needs. Please note that the payment info is protected as well. Feel free to refer to the support team for more information about our payment methods. The fact that you used our service is kept secret due to the advanced security standards. So, you can be sure that no one will find out that you got a paper from our writing service. -
Money Back Guarantee
If the writer doesn’t address all the questions on your assignment brief or the delivered paper appears to be off the topic, you can ask for a refund. Or, if it is applicable, you can opt in for free revision within 14-30 days, depending on your paper’s length. The revision or refund request should be sent within 14 days after delivery. The customer gets 100% money-back in case they haven't downloaded the paper. All approved refunds will be returned to the customer’s credit card or Bonus Balance in a form of store credit. Take a note that we will send an extra compensation if the customers goes with a store credit. -
24/7 Customer Support
We have a support team working 24/7 ready to give your issue concerning the order their immediate attention. If you have any questions about the ordering process, communication with the writer, payment options, feel free to join live chat. Be sure to get a fast response. They can also give you the exact price quote, taking into account the timing, desired academic level of the paper, and the number of pages.