Define the influences on the exchange rate

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1. According to MM results with taxes :

A) A company will increase its value with less debt

B) A company will increase its value with more debt

C) A company will maintain its value no matter the capital structure

D) None of the above

2. Determine the present value of a $20, 000 payment to be received on January 1, 2023, if it is now November 30, 2016, and money can be invested at 4% interest compounded monthly?

3. Define the influences on the exchange rate, and discuss the government approaches to exchange rate management.

you invest $1000 in an account that pays interest at 12% annual rate, compunded quarterly. How much would you invetment grow to in 5 years.

a.1,600; b. 1,806; c. 1,762; d. 1,272

4. Your rich uncle has promised to pay you $20,000 as a gift upon graduation in 2 years. You plan to invest it for 5 more years at 8.5 percent compounded monthly and use the money you have after 7 years as a down payment to purchase a house. What will be the amount of the down payment?

a.28,500; b.39,450; c.36,180; d.40,400

Reference no: EM131942766

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