Employing the equation for identical payments

Assignment Help Business Economics
Reference no: EM131735887

Assume, you will receive rent payments over a time period of 88 years. For the first 44 years, you will receive a rent of $444 at the beginning of each year. For the next 44 years thereafter you will receive $222 at the end of each year. Assuming a discount rate of 4% calculate the net present value of this income stream.

(a) Employing the equation for identical payments over a limited time period, show how you would alter this equation applied to this problem.

(b) Calculate the NPV of the payments

Reference no: EM131735887

Questions Cloud

Prepare a project scope management plan : Prepare a project scope management plan that will detail how the project scope will be defined, managed, and controlled to prevent scope creep.
What is the quantity of money : Use the quantity equation of money. Suppose the velocity of money is constant at V=5, the price level is P=2 (i.e.. CPI = 200), and the real GDP is $2,000.
Why is the web being touted as the solution : Why is the Web being touted as the solution to all computing needs, including group support
Compare symmetric encryption to asymmetric encryption : PKI uses digital certificates to encrypt / decrypt data. Analyze the process of encrypting and decrypting data using a digital certificate.
Employing the equation for identical payments : Employing the equation for identical payments over a limited time period, show how you would alter this equation applied to this problem.
Discuss how is the evolving field of is management leading : How is the evolving field of IS management leading to an increased application of outsourcing
Profit-maximizing price and quantity : Based on this information, calculate the profit-maximizing price and quantity and the revenue maximizing price and quantity:
How much of this premium will root company recognize : Coverage under the policy began June 1. How much of this premium will Root Company recognize as insurance expense in May
Determine the user interface which is the most efficient : Discussion: Operating Systems- Determine the user interface which is the most efficient and user friendly. Provide a rationale for your response.

Reviews

Write a Review

Business Economics Questions & Answers

  Economics assignment

This document contains various important questions and their appropriate answers in the subject field of Economics.

  Demand and supply curves

Economics is the study of the principles governing the allocation of scarce means among competing ends when the objective of the allocation is to maximize the attainment of the ends.

  Long-run perfectly competitive equilibrium for the firm

Evaluate Government intervene and correct this situation?(a) Explain the concept of a concentration ratio. A rise in the price of magarine Explain the impact of external costs and external benefits on resource allocation long-run perfectly c..

  Supply and demand diagrams

Explain each of the following using supply and demand diagrams,  With the use of a graph, explain how these two programs affect cigarette consumption and the price of cigarettes.

  Case study: fisher-price toys

The case study of the Fisher-Price Toys, Inc., a popular case in basic economics and management from the prestigious Harvard Business School.

  Draw the production possibility curve

Draw the production possibility curve and a. Define consumer surplus and producer surplus.

  Tax revenue

The Australian government administers two programs that affect the market for cigarettes

  Maximize total welfare

How many tickets to sell to maximize total welfare.

  Difference between the cv and the ev

The change in consumer surplus (?CS) is not "theoretically" justifiable like the CV and EV but it continues to be the most widely used measure of consumer welfare change. Explain how this can be reconciled

  Depict von neumann-morgenstern utility index u in a diagram

Depict the von Neumann-Morgenstern utility index u in a diagram

  What is the market solution

What is the market solution (market price and quantity) and What is the total surplus of the society under the market solution

  Calculate gross national product and net national product

Calculate gross national product and net national product

Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd