Compute the present value

Assignment Help Financial Management

Reference no: EM131054529

Compute the present value of an $900 payment made in 9 years when the discount rate is 11 percent. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Present value $

Reference no: EM131054529

Questions Cloud

Estimate of an appropriate price range for shares of garp : Garret Simpson Investments is evaluating a firm (Garp, Inc.) for recommendation to its clients and trying to evaluate the firm's current stock price. The firm is about to offer its shares to the public and had earnings last year of $2.50 a share, whi..

Correlation coefficient between the returns of the two stock : The covariance of the returns between Willow stock and Sky stock is 0.0740. The variance of Willow is 0.1310 and the variance of sky diamond is 0.1130. What is the correlation coefficient between the returns of the two stocks?

Diversified investments : Diversified Investments. Hofstra, Inc., has no European business and has cash invested in six European countries, each of which uses the euro as its local currency. Are Hofstra’s short-term investments well diversified and subject to a low degree of ..

Find the present equivalent value : The property appraisal office for Mobile County has just installed new software to track residential market values for property tax computations. The manager wants to know the total equivalent cost of all future costs incurred when the county commiss..

Compute the present value : Compute the present value of an $900 payment made in 9 years when the discount rate is 11 percent. (Do not round intermediate calculations and round your final answer to 2 decimal places.) Present value $

Consider european put option with a strike price : Consider a European put option with a strike price of $106.5 and a maturity of 11 months. The underlying stockprice equals 99. The continously compounded risk-free rate is 7.25 percent per year. What is the lower and upper bound, repectively, on the ..

What is the expectations trap : What is the expectations trap? If people thought that the central bank was likely to raise the inflation rate to 3 percent from 2 percent, how might that lead to an expectations trap?

What is the average corporate beta for the projects : What is the average corporate beta for the projects? Is this consistent with the theory or corporate betas? Why or why not?

When coupon rates exceed market rates : When coupon rates exceed market rates, bonds will sell at a premium. When market rates exceed coupon rates, bonds will sell at a premium. When coupon rates exceed market rates, bonds could sell at either a premium or a discount. Bonds will always sel..

User Account

All Pages