Calculate the difference between the future value

Assignment Help Financial Management
Reference no: EM13731517

Calculate the difference between the future value of the following investment using annual and daily compounding: (a) Present Value: $20,000, (b) Interest Rate: 6%, and (c) Number of Periods: 30 Years.

Reference no: EM13731517

Questions Cloud

Understanding of the changing nature of work : Effective human resources professionals have a solid understanding of the changing nature of work and the workplace. Compare and contrast the evolution of work and the workplace over the past 20 years and how it has impacted human resources.
Develop competitor and competitive benchmarking : Develop Competitor and Competitive Benchmarking and Segmentation Strategies with Analysis of Two Competitors
Promote and attract customers for their business : In this part owner wants to provide services to customers, like corporate outings, private events, leagues. Owner wants to take care about the customer attraction it will really help him to promote and attract customers for their business
Gain or loss does he recognize in liquidation : ABC Partnership distributed land with basis of $12,100 and FMV of $20,000 to Partner A in liquidation of his partnership interest. Partner A's basis in his partnership interest before the distribution was $13,700 and includes $5,000, his share of par..
Calculate the difference between the future value : Calculate the difference between the future value of the following investment using annual and daily compounding: (a) Present Value: $20,000, (b) Interest Rate: 6%, and (c) Number of Periods: 30 Years.
Calculate the amount of the firms gross profit : Evening Story Corporation has sales of $4,732,270; income tax of $558,166; the selling, general and administrative expenses of $264,444; depreciation of $328,532; cost of goods sold of $2,840,400; and interest expense of $153,129. Calculate the amoun..
Calculate the present value of the future cash flow : Calculate the present value of the future cash flow, given the following information: (a) Future Payment: $25,000, (b) Interest Rate: 5%, and (c) Number of Periods: 10.
Identify and link the symptoms and root causes of problems : Identify and link the symptoms and root causes of the problems
What is the present value of this cash flow pattern : You have been offered the opportunity to invest in a project that will pay $3,286 per year at the end of the year’s one through three and $14,969 per year at the end of years 4 and 5. If the appropriate discount rate is 6.65 percent per year, what is..

Reviews

Write a Review

Financial Management Questions & Answers

  What types of industry and economic information

What types of industry and economic information should financial analysts have in order to assess and understand the performance of specific industries?

  Company is considering an investment project

A company is considering an investment project with the following cash flows: Year 0 = -$160,000 (initial costs); Year 1= $50,000; Year 2 =$80,000; and Year 3 = $65,000.The company has a 8% cost of capital, calculate the NPV for the project ______

  What are the yields to maturity for bond

Consider three risk free Eurobonds (which pay coupons annually). Their times to maturity, coupon rates and current market prices (based on a face value of$100) are as follows: Bond A 1 yr 9% $101.25; Bond B 2 yrs 8% 99.75; Bond C 3 yrs 7% $96.00.

  Calculate the return the stock had at time of margin call

An investor buys $8,000 worth of a stock priced at $40 per share using 50% initial margin. The broker charges 6% on the margin loan and requires a 30% maintenance margin. In one year the investor gets a margin call.

  Determine net present value of the investment

The added production would require an increase in working capital in the form of stocks, valued at cost, of £300,000. The tax rate is 20 per cent and the required rate of return is 18 percent. Determine the net present value of the investment, sp..

  Risk-free interest rate

The common stock of the C.A.L.L. Corporation has been trading in a narrow range around $140 per share for months, and you believe it is going to stay in that range for the next 6 months. The price of a 6-month put option with an exercise price of $14..

  What overall net income would be produced

What overall net income would be produced if the admission rate of the capitated group were reduced from the commercial level by 10 percent?

  Cash flows are deposited

$1,200 is received at the beginning of year 1, $2,200 is received at the beginning of year 2, and $3,300 is received at the beginning of year 3. If these cash flows are deposited at 12 percent, their combined future value at the end of year 3 is ____..

  Horizontal analysis mary lynn corporation has been

horizontal analysis. mary lynn corporation has been operating for several years. selected data from the 20x1 and 20x2

  Define and discuss the determinants of growth

Define and discuss the determinants of growth. What is the basic idea of the percentage of sales approach?

  Measure and manage performance against objectives

You are exploring the need for organisations to measure and manage performance against objectives, as well as the potential effectiveness of tools such as Balanced Scorecards and Strategy Maps

  Find the firm''s free cash flow and calculate the liquidity

determine the firm's free cash flow and calculate the liquidity, activity, debt, profitability, and market ratios for Jaedan industries. Perform a DuPont analysis and compare the firm to the industry ratios (see last table in this sequence). Highl..

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