Global Enterprises has just signed a $3 million (nominal value) contract. The contract calls for a payment of $.5 million today, $.9 million one year from today, and $1.6 million two years from today. Interest rate is 12%. What is the contract's equivalent value if we evaluate it in two years (hint: calculate future value in two years). I know the answer is $3.24 million but I need help getting there. Can you show me how you got that please.

You are considering a safe investment opportunity that requires a $1,450 investment today, and will pay $950 two years from now and another $710 five years from now. a. What is the IRR of this investment? b. If you are choosing between this investment and putting your money in a safe bank account that pays an EAR of 5% per year for any horizon, can you make the decision by simply comparing this EAR with the IRR of the investment? Explain. a. What is the IRR of this investment? The IRR of this investment is %. (Round to two decimal places.)

A project contractor needs P500,000 for his operation. One financial institution is willing to lend him the money for one year at 12.5% interest per annum (discounted). Another lender is charging 14%, with the principal and interest payable at the end of one year. A third financier is willing to lend him P500,000 payable in 12 equal monthly installments of P46,000. Which offer is best for him?

You are considering a safe investment opportunity that requires a $780 investment​ today, and will pay $870 two years from now and another $640 five years from now. a. What is the IRR of this​ investment? b. If you are choosing between this investment and putting your money in a safe bank account that pays an EAR of 5% per year for any​ horizon, can you make the decision by simply comparing this EAR with the IRR of the​ investment? Explain.

You are trying to value the following investment opportunity: The investment will cost you $22,619 today. In exchange for your investment you will receive monthly cash payments of $4,979 for 8 months. The first payment will occur at the end of the first month. The applicable effective annual interest rate for this investment opportunity is 8%. Calculate the NPV of this investment opportunity. Round to two decimals (do not include the $-sign in your answer).

You are considering a safe investment opportunity that requires a $1,080 investment​ today, and will pay $710 two years from now and another $610 five years from now. a. What is the IRR of this​ investment? b. If you are choosing between this investment and putting your money in a safe bank account that pays an EAR of 5% per year for any​ horizon, can you make the decision by simply comparing this EAR with the IRR of the​ investment? Explain. a. What is the IRR of this​ investment?   The IRR of this investment is _____________%. ​ (Round to two decimal​ places.)

You expect to receive $150,000 per year on a contract that will last 5 years. You are trying to compare this offer to a lump sum payment. If you can earn 5% on your investments, how much is the contract worth to you today?

if you hold a valid contract that will pay you $8,000 cash10 years from now and the going rate of interest is 10 percent, what is its present value? Use a convenient format todisplay your computations and round to the nearest dollar.

1. Your client has been offered the opportunity to invest in a project which will pay $1,000 per month at the end of months 1 to 10 and $2,000 per month at the end of months 21 to 30. The interest rate over the period of the investment is a nominal rate of 8% p.a. If your client can buy the investment today for $25,000 would you recommend that this is a good investment? Why or why not?

You are considering purchasing an investment contract that will eventually pay you $4000 per year at the end of each year for seven years.   The appropriate interest rate for the risks involved is 6.4%   The first payment begins in 6 years.  What price should you pay today to purchase this contract (rounded to nearest dollar) ?