Find the present values of the following cash flow streams. The appropriate interest rate is 6%....

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Finance

Find the present values of the following cash flow streams. Theappropriate interest rate is 6%. Round your answers to the nearestcent. (Hint: It is fairly easy to work this problem dealing withthe individual cash flows. However, if you have a financialcalculator, read the section of the manual that describes how toenter cash flows such as the ones in this problem. This will take alittle time, but the investment will pay huge dividends throughoutthe course. Note that, when working with the calculator's cash flowregister, you must enter CF0 = 0. Note also that it is quite easyto work the problem with Excel, using procedures described in theChapter 4 Tool Kit.) Year Cash Stream A Cash Stream B 1 $100 $300 2400 400 3 400 400 4 400 400 5 300 100 Stream A $ Stream B $ What isthe value of each cash flow stream at a 0% interest rate? Roundyour answers to the nearest cent. Stream A $ Stream B $

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1Stream A Net present value is solved using a financial calculator The steps to solve on the financial calculator Press the CF button CF0 0 Cash flow for all the years should be entered Press Enter and down arrow after inputting each cash flow After entering the last cash flow press the NPV button and enter the interest rate of 6 Press the down arrow and CPT buttons to get See Answer

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Find the present values of the following cash flow streams. Theappropriate interest rate is 6%. Round your answers to the nearestcent. (Hint: It is fairly easy to work this problem dealing withthe individual cash flows. However, if you have a financialcalculator, read the section of the manual that describes how toenter cash flows such as the ones in this problem. This will take alittle time, but the investment will pay huge dividends throughoutthe course. Note that, when working with the calculator's cash flowregister, you must enter CF0 = 0. Note also that it is quite easyto work the problem with Excel, using procedures described in theChapter 4 Tool Kit.) Year Cash Stream A Cash Stream B 1 $100 $300 2400 400 3 400 400 4 400 400 5 300 100 Stream A $ Stream B $ What isthe value of each cash flow stream at a 0% interest rate? Roundyour answers to the nearest cent. Stream A $ Stream B $