CH.1 - c) In Excel, the Pmt function returns the payment...

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Ch. 1 #7 The minimum attractive rate of return (MARR) is the lowest return on project or inves that will make the firm or investor to accept that project. #8 Debt financing is borrowing from outside sources and repaying the principal and inter according to a schedule.  Car loans are an example. Equity financing is financing using its own funds from cash on hand or stocks.  Using  from a savings account is an example. #28 a) In Excel, the FV function returns the future value of an investment based on an inte rate and a constant payment schedule. b) In Excel, the Irr function returns the internal rate of return for a series of cash flows flows must occur at regular intervals, but do not have to be the same amounts for eac
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Unformatted text preview: c) In Excel, the Pmt function returns the payment amount for a loan based on an inte rate and a constant payment schedule. d) In Excel, the PV function returns the present value of an investment based on an in rate and a constant payment schedule. #29 P F A i n a) 9000 ? 2000 7 10 b) 14000 ? ? 11 20 c) ? 800 1000 8 15 #30 a) PV = P present value b) PMT = A periodic value c) NPER = n period d) IRR = I compound interest rate e) FV = F future value #39 $9,000 $9,000 $9,000 $9,000 + 1 2 3 4 5 6 7-i = 10% $10,000 $3,000 $3,000 $3,000 #43 Estimate i = 72/n 72/4 = 18 i = 18% stment rest money terest s. The cash ch interval. erest interest FV 8 Year...
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This note was uploaded on 04/11/2010 for the course MST 502 taught by Professor Atals during the Spring '10 term at SUNY IT.

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CH.1 - c) In Excel, the Pmt function returns the payment...

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