PowerPoint Presentation Needed: Someone Who Can Follow Clear

Powerpoint Presentationi Need Someone Who Can Follow Clear Instruct

Powerpoint Presentationi Need Someone Who Can Follow Clear Instruct

POWERPOINT PRESENTATION…..I need someone who can follow clear instruction and turn the work in “ ON-TIME!!!!†Must have excellent grammar and know how to formula a sentences..!!! Brand NEW assignment… Teaching Net Present Value (NPV) & Future Value (FV) You have been asked by a manager in your organization to put together a training program explaining Net Present Value (NPV) and Future Value (FV) and how they are used to evaluate the price of stock. You have been given the following objectives: Upon completing your Net Present Value (NPV) and Future Value (FV) Training Program, employees should be able to do the following: Explain NPV and FV. Describe the factors that are used in the NPV and the FV formulas.

Give an example of how to use the formulas for NPV and FV for a stock purchase. Summarize the differences between the two formulas and the purpose of using each. Develop a 10- to 12-slide PowerPoint Presentation (excluding title slide and reference slide) that cover each of the above topics. In the slide notes, include your explanations for each topic above. You must use a minimum of two scholarly sources. Format the presentation and cite your resources according to the APA 6th edition style guide as outlined in the Ashford Writing Center.

Paper For Above instruction

Introduction

Creating an effective training program to elucidate the concepts of Net Present Value (NPV) and Future Value (FV) is essential for employees involved in financial decision-making, particularly in evaluating stock prices. These financial metrics are fundamental to understanding investment valuation, risk assessment, and capital budgeting decisions. This paper presents a comprehensive guide to developing a PowerPoint presentation designed to educate employees about the definitions, formulas, factors, practical examples, and the differences between NPV and FV, aligned with academic standards and APA formatting.

Understanding NPV and FV

Net Present Value (NPV) represents the difference between the present value of cash inflows and outflows over a period. It is a cornerstone in capital budgeting, helping investors and managers determine whether a project or an investment, like stocks, is worthwhile based on discounted future cash flows. Future Value (FV), on the other hand, calculates the amount an investment will grow to over time at a specific rate of return, assuming reinvestment of earnings.

Both NPV and FV rely heavily on time value of money concepts, which recognize that a dollar today has different buying power and investment potential than a dollar in the future. Several key factors influence these calculations, including the discount rate, interest rate, time period, and the amount of initial investment or cash flows.

Factors Used in NPV and FV Formulas

The primary factors involved in the formulas are:

  • Interest rate or discount rate: Reflects the opportunity cost of capital and risk associated with the investment.
  • Time period: The number of periods (years, months) over which the cash flows are evaluated.
  • Cash flows: Includes initial investment costs and future returns or payments.

The NPV formula discounts future cash inflows and outflows to their present value, while FV compounding the present value or cash flows over time at a specified rate.

Practical Examples of NPV and FV in Stock Evaluation

For example, consider a stock purchase where an investor expects to receive annual dividends. Using FV, the investor can determine the value of an investment after a certain number of years at a given rate. Suppose the initial investment is $1,000, with an annual return of 8%, over five years:

FV = PV × (1 + r)^n

FV = $1,000 × (1 + 0.08)^5 = $1,469.33

For NPV, assuming the investor expects future dividends and sale price, discounted at a required rate, the calculation helps in assessing whether the current price is justified. For instance, if projected cash inflows totaling $1,500 over five years are discounted at 8%, the NPV indicates if the stock's current price aligns with the investment's worth.

Differences and Purpose of NPV and FV

While both formulas relate to the time value of money, they serve distinct purposes. FV forecasts what an investment will grow to, aiding in planning future value of current investments or savings. Conversely, NPV evaluates whether an investment or project has net value today, guiding investment decisions by comparing the present worth of expected cash inflows to costs.

NPV is primarily used for project evaluation, capital budgeting, and investment analysis, whereas FV is more relevant for savings, retirement planning, and assessing future wealth accumulation.

Developing the PowerPoint Presentation

The PowerPoint presentation should contain 10-12 slides, excluding the title and references slides. The slides should succinctly present:

- Title slide with presentation topic

- Introduction slide explaining the importance of NPV and FV

- Slide detailing definitions of NPV and FV

- Slides explaining the factors influencing NPV and FV calculations

- Example slides demonstrating calculations of NPV and FV with real-world scenarios

- Comparative slide analyzing differences between NPV and FV

- Summary slide emphasizing the applications and importance of each metric

- References slide formatted according to APA 6th edition

Annotations and explanations should be included in the slide notes to guide the presenter in elaborating on key points.

Conclusion

Designing an educational PowerPoint on NPV and FV requires clarity, accurate content, and adherence to professional formatting standards. By covering definitions, factors, practical examples, and differences, the presentation will effectively enhance employees’ understanding, empowering them to apply these financial tools in evaluating stocks and making informed investment choices.

References

  • Brigham, E. F., & Ehrhardt, M. C. (2016). Financial Management: Theory & Practice (15th ed.). Cengage Learning.
  • Ross, S. A., Westerfield, R., & Jordan, B. D. (2019). Fundamentals of Corporate Finance (13th ed.). McGraw-Hill Education.
  • Berk, J., & DeMarzo, P. (2017). Fundamentals of Corporate Finance (4th ed.). Pearson.
  • Higgins, R. C. (2012). Analysis for Financial Management (10th ed.). McGraw-Hill/Irwin.
  • Investopedia. (2023). Net Present Value (NPV). https://www.investopedia.com/terms/n/npv.asp
  • Investopedia. (2023). Future Value (FV). https://www.investopedia.com/terms/f/futurevalue.asp
  • Gitman, L. J., & Zutter, C. J. (2015). Principles of Managerial Finance (14th ed.). Pearson.
  • Damodaran, A. (2012). Investment Valuation: Tools and Techniques for Determining the Value of Any Asset. Wiley.
  • Blank, L., & Tarquin, A. (2017). Engineering Economy (17th ed.). McGraw-Hill Education.
  • Yale University. (2014). Financial Markets and Investment: Principles and Practices. OpenCourseWare.

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