What is the value of a loom that is expected to generate fixed annual cash flows of $3,640 every year for a certain amount of time if the first annual cash flow is expected in 5 years, the last annual cash flow is expected in 10 years, and the appropriate discount rate is 3.7 percent

PV= $13,627.44

Explanation:

Giving the following information:

Cash flow= $3,640

Interest rate= 3.7%

First, we need to calculate the value of the investment five years from now:

PV= Cf*{(1/i) - 1/[i*(1 + i)^n]}

PV= 3,640*{(1/0.037) - 1 / [0.037*(1.037^5)]}

PV= $16,342.11

Now, the present value:

PV= FV / (1 + i)^n

PV= 16,342.11 / (1.037^5)

PV= $13,627.44

ans.

heterothermic organisms include those organisms that can switch between homeothermic (having body temperature higher than environment) and poikilothermic (having variation in internal body temperature) strategies.

some migratory birds show heterothermy as they decrease their metabolic rate during cold nights to keep their body temperature low. drop in metabolic rate allows increase in production efficiency of birds that reduces the internal body temperature to make it equal to external cold temperature during cold nights.

thus, the correct answer is 'birds allow their temperature drop in order to increase their production efficiency.'