Bond pricing-capm and real estate mortgages

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1. Thoroughly describe time value of money as it relates to each concept: Bond Pricing, CAPM, and real estate mortgages.

2. How much you invest today (single cash flow) to accumulate 80,000 at the end of 10 years if rate of interest is 8% compound annualy

3. Thoroughly explain Black-Scholes as if you were writing to someone who is reasonably intelligent, but not a finance major or investing expert.

4. Describe how the concept of utility can be used in determining an appropriate investment allocation for an individual.

Reference no: EM132054584

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