Reference no: EM133123842
Question - Present value, future value and interest rate -
1. Jose Lopez has $15,000 in a 6-year certificate of deposit (CD) that pays a guaranteed annual rate of 4%. He draws a time line showing when the cash flows will occur.
2. Oliver López deposits $12,000 in a bank account that pays 7% annual interest. He calculates the account balance after 5 years.
3. Carmen Hernández has saved $8,000 for a car deposit. The highest monthly payment she can afford is $455. The loan will have an APR of 11% payable at the end of each month. Determine which is the most expensive car you can buy if you buy it on credit payable over 60 months.
4. Determine the present value of a financial instrument that pays $18,500 in 10 years if instruments of similar risk pay 6% per year.
5. Find the future value (FV) of a $5,000 investment at an interest rate of 10% over 7 years.
6. Determine the interest rate you will pay if you are approved for a loan of $112,000 with annual payments of $15,000 over 8 years.
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Enemies of free international trade
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Prepare the required adjusting entry
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How does desire for a particular profession
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Determine the interest rate you will pay
: Determine the interest rate you will pay if you are approved for a loan of $112,000 with annual payments of $15,000 over 8 years
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Constant dividend payout ratio
: Cross Town Express has sales of $137,000, net income of $14,000, total assets of $98,000, and total equity of $45,000. The ?rm paid $7,560 in dividends and main
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Calculate the npv of option
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Estimate the expected annual cash flows
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Determine cost of completed and transferred-out production
: The beginning work in process inventory on July 1 had a cost of $3,040. Determine the cost of completed and transferred-out production
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