Annuity present value equation

Assignment Help Finance Basics
Reference no: EM132662017

Today, you borrowed $10,000 at 3.5% with bi-weekly compounding. You have agreed to pay off the loan over 3 years by making equal quarterly payments. If you were solving for your unknown quarterly payment amount using the annuity present value equation, what interest rate would you use? (Hint: You don't actually need to solve for your unknown payment amount.)

Reference no: EM132662017

Questions Cloud

Conduct your own job or internship search : Conduct your own job or internship search. Find a position you're interested - Read through the job announcement carefully, and take note
How will Larry and Ed be taxed on the distributions : How will Larry and Ed be taxed on the distributions? How much gain will Larry recognize on the sale of his stock to Ed
Difference in project selection using npv verses irr : Explain the difference in project selection using NPV verses IRR.
How are the two shareholders taxed on the distribution : Black Corporation and Tom each own 50% of Tan Corporation's common stock. How are the two shareholders taxed on the distribution
Annuity present value equation : If you were solving for your unknown quarterly payment amount using the annuity present value equation, what interest rate would you use?
What is total variable maintenance cost incurred by alisha : What is the total variable maintenance cost incurred by Alisha last year? What is the total maintenance cost incurred by Alisha last year?
Learn about the field of communication : What did you learn about the field of communication that you did not know? What does it mean to conduct yourself as a communication professional?
Calculate the value at the end of three years : Calculate the value at the end of three years of investing $10,000 in the A shares and $10,000 in the B shares.
Compute Sparrow current E-P : Sparrow uses the LIFO inventory method, and its LIFO recapture amount increased by $10,000 during 2019. Compute Sparrow current E-P

Reviews

Write a Review

Finance Basics Questions & Answers

  What is the price today for a bacon signs bond

Given this information, what is the price today for a Bacon Signs bond?

  In may 1988 walt disney productions sold to japanese

in may 1988 walt disney productions sold to japanese investors a 10- year stream of projected yen royalties from tokyo

  Examine the generally accepted components of erm

Examine the generally accepted components of ERM which are present in your company and evaluate whether these components are working, failing.

  Calculate the interest in canada

Explain and illustrate the economy's adjustement with devaluation and find the real wage rate implied by the price-setting equation

  What is the significance of the capital market line

What is the significance of the Capital Market Line? To be more specific, what relationship does this line depict? Give a brief discussion on its application

  How would the depreciation change if you include the section

How would the depreciation change if you include the Section 179 deductions? Use the limits for the 2006 tax year for all three tax years.

  What is the firm expected stock price

If the corporation is expected to grow at a constant rate in the future what is the firm's expected stock price in 5 years?

  What is the amount ms waterman will receive when the t-bill

Sandra Waterman purchased a 52-week, $3,200 T-bill issued by the U.S. Treasury. The purchase price was $3,189. What is the amount of the discount? What is the amount Ms. Waterman will receive when the T-bill matures? What is the current yield for the..

  On january 1 2007 charles jamison borrows 40000 from his

on january 1 2007 charles jamison borrows 40000 from his father to open a business. the son is the beneficiary of a

  Find total nominal rate and total dollar return

Suppose you bought a bond with an annual coupon rate of 8.8 percent one year ago for $911. The bond sells for $954 today. a. Assuming a $1,000 face value, what was your total dollar return on this investment over the past year?

  Compute the market value of the bonds

Compute the market value of the bonds. How many bonds will the firm have to issue to receive the needed funds? What is the firm's after-tax cost of debt if the firm's tax rate is 34 percent?

  How ge is disrupting itself

"How GE is Disrupting Itself" a reverse innovation discussion. a) Does reverse innovation have a future? b) Is reverse innovation more likely to be radical/disruptive

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd