Company deposit today to fulfil its obligation to brad

Assignment Help Financial Management

Reference no: EM13882752

Ajax Corporation has hired Brad O’Brien as its new president. Terms included the company’s agreeing to pay retirement benefits of $18,900 at the end of each semi annual period for 10 years. This will begin in 3,285 days. If the money can be invested at 8% compounded semi annually, what must the company deposit today to fulfil its obligation to Brad?

Reference no: EM13882752

Questions Cloud

The u.s. is an attractive market for foeign marketers : The U.S. is an attractive market for foeign marketers for all of the following reasons except: A) Large population B) Rapid growth and Economic growth

Effective interest rate : EFFECTIVE INTEREST RATE You borrow $90,000; the annual loan payments are $12,875.58 for 30 years. What interest rate are you being charged? Round to TWO decimal places.

Calculate the compensating and equivalent variations : for i = 1, 2. Originally she faces prices p1 = p2 = $2 and has an income of $100. Then the price of good 1 increases to $4. Calculate the compensating and equivalent variations, given that Niki's utility function is u (x1, x2) = x1(1/2)x2(1/2).2. The..

Balance in the account four years after the last deposit : Victor French made deposits of $5,500 at the end of each quarter to Book Bank, which pays 8% interest compounded quarterly. After 5 years, Victor made no more deposits. What will be the balance in the account 4 years after the last deposit?

Company deposit today to fulfil its obligation to brad : Ajax Corporation has hired Brad O’Brien as its new president. Terms included the company’s agreeing to pay retirement benefits of $18,900 at the end of each semi annual period for 10 years. This will begin in 3,285 days. If the money can be invested ..

Evaluate the proposed acquisition of new spectrometer : You have been asked by the president of your company to evaluate the proposed acquisition of a new spectrometer for the firm’s R&D department. The equipment’s basic price is $70,000 and it would cost another $15,000 to modify it for special use by yo..

Provide an example of an environmental tax : Provide an example of an environmental tax or marketable permit instrument that has been used in Canada. Evaluate the instrument in terms of its efficiency (or cost-effectiveness), equity, enforceability, and incentives created for polluters to innov..

What is the maximum sustainable growth rate : what is the maximum sustainable growth rate (SGR)?

Significant number of better business bureau complaints : Explain how the following situations can shed light on the question, What is the character of the borrower and quality of information provided? Significant number of Better Business Bureau complaints. The business is a family business and several mem..

User Account

All Pages