Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
An insurance company is considering the introduction of an investment-only product that provides a claim based on the accumulated value of premiums paid by a policyholder.Policyholders would pay annual premiums of X at year 0, 1,2,3…, n-1 and would receive a claim equal to a the accumulated value of the premium payments at Year n. Unless told otherwise, for the following questions use an interest rate of 4 percent per year and n=25.
1. Calculate the present value, at Year 0, of a single premium payment of $5,000 made at Year 12.
2. Calculate the accumulated value, at the time that the claim is paid, of all of the premium payments of $5,000.
3. A policyholder is wishing to receive a claim payment of $300,000. Calculate the value of the premium payment X, that will provide this claim payment.
Iron Works Inc. issued $12,000,000 of 4%, 10-year bonds on September 1, 2017 for $11,896,605 plus accrued interest.
You are going to invest $10,000 in a complete portfolio. The complete portfolio is composed of a risky asset with an expected rate of return of 15% and a standard deviation of 21%, and; a treasury bill with a rate of return of 5%. How much money shou..
Which one of the following methods of analysis ignores the time value of money?
Morin Company's bonds mature in 8 years, have a par value of $1,000, and make an annual coupon interest payment of $65. The market requires an interest rate of 8.2% on these bonds. What is the bond's price?
A firm is planning a project that will both expand the firm’s operations and replace some of the older, less efficient assets of the firm.
Describe how differences can arise between accrual and cash accounting for the same period of time for the following items.
Navel County Choppers Inc. is experiencing rapid growth. The company expects dividends to grow at 20 percent per year for the next 10 years before leveling off at 5 percent into perpetuity. The required return on the company’s stock is 11 percent. If..
Dicker Company has the following pattern of financial data for Years 1 and 2:- Calculate earnings per share and comment on the trend.
What is the amount Jeremy will receive from the annuity?
How much is the overall rate of return for the portfolio?
Stock Y has a beta of 1.45 and an expected return of 13.50 percent. Stock Z has a beta of .70 and an expected return of 10.00 percent. What would the risk-free rate have to be for the two stocks to be correctly priced relative to each other?
Are profitable ethical businesses profitable because they are ethical , or are they ethical because it can lead to profits?
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd