Dollar-weighted rate of return in financial agreement

Assignment Help Financial Management

Reference no: EM131990720

Suzanne and Kerry entered into a financial agreement. On January 1, 2014, Suzanne gave $9000 to Kerry. On April 1, 2014, Kerry repaid $3000 to Suzanne. On July 1, 2014, Kerry repaid $3600 to Suzanne, and Suzanne immediately place half of this payment into an account at Harlow Savings and Loan which earns at effective monthly compound interest rate of 0.5% Finally, on January 1, 2015, Kerry gave Suzanne $3000 to completely repay the loan. At the same time, Suzanne closed her account at Harlow Savings and Loan and withdrew the money in the account. What is Suzanne's dollar-weighted rate of return in this financial agreement, assuming simple interest for the rate of return? (Round your answer to four places after the decimal)

Answer = % (3 decimal place)

Reference no: EM131990720

Questions Cloud

Identify the leadership conundrum you will look into : Identify the leadership conundrum you will look into as you lead the group (what personal issues do you need to address, etc.)

What is the market to book ratio : What is the market to book ratio if there are 45,000 shares of stock outstanding

Describe an example of a very poorly implemented database : Describe an example of a very poorly implemented database that you've encountered (or read about) that illustrates the potential for really messing things up.

Assess how to determine the level of risk management : Assess how to determine the level of risk management appropriate for a project. Imagine the team working on the satellite development project was a virtual team

Dollar-weighted rate of return in financial agreement : What is Suzanne's dollar-weighted rate of return in this financial agreement, assuming simple interest for the rate of return?

What is the fastest-growing category of expenditures : What percentage of your city's revenue comes from the general property tax? How much is this tax growing in each year of the financial plan?

Calculate the loss from selling the assets : Turner, Roth, and Lowe are partners who share income and loss in a 1:4:5 ratio. Calculate the loss from selling the assets

Describes the different types of operating systems : Find articles that describes the different types of operating systems (Linux, Unix, Android, ROS, z/OS, z/VM, z/VSE, etc). Do not select MS WINDOWS.

Explain how that idea will ensure a win-win negotiation : As a group, discuss and arrive at a consensus on at least 5 best practices for negotiation techniques from the list provided by all members of the team.

User Account

All Pages