Find the payment that should be used for the annuity due

Assignment Help Financial Management
Reference no: EM13875999

Find the payment that should be used for the annuity due whose future value is given. Assume that the compounding period is the same as the payment period. $8000; quarterly payments for 8 years; interest rate 4.1%.

Reference no: EM13875999

Questions Cloud

Create a class rectangle with attributes length and width : Create a class Rectangle with attributes length and width, each of which defaults to 1. Provide member function that calculate and the area of the rectangle.
New storage facility-fulfil all of the loan payments : Orange Spark, Inc. just purchased a new storage facility. The company will begin making loan payments of $15513 at the end of year 5. Orange Spark will make a payment at the end of each year for 11 years. How much should Orange Spark deposit today, i..
Purchase of new machine for the production of latex : Vandalay Industries is considering the purchase of a new machine for the production of latex. Machine A costs $3,102,000 and will last for six years. Variable costs are 40 percent of sales, and fixed costs are $245,000 per year. Both machines will be..
Explain the terms job description and job specification : Explain the terms job description, job specification, and job evaluation
Find the payment that should be used for the annuity due : Find the payment that should be used for the annuity due whose future value is given. Assume that the compounding period is the same as the payment period. $8000; quarterly payments for 8 years; interest rate 4.1%.
Yield the same total amount as this yearly payment : Find the lump sum deposited today that will yield the same total amount as this yearly payment (made at the end of each year for 20 years at the given interest rate, compounded annually). $9500 at 4%
Compounding period is the same as the payment period : Find the payment that should be used for the annuity due whose future value is given. Assume that the compounding period is the same as the payment period. $79,000; monthly payments for 11 years; interest rate 6.3%.
Indifferent between cash now or taking the annuity : 1) You have decided to open up a savings account. Your bank has offered you three interest options: A) 10.55% annually, B) 10.40% quarterly and C) 10.30% weekly. Which do you prefer? You just won the Powerball, as a result you have the choice between..
Develop a policy for your institution : The abuse of both alcohol and drugs has increased to a dangerous level at the healthcare facility where you work as an HR manager. You decide to develop a policy for your institution to minimize alcohol and drug abuse by your staff

Reviews

Write a Review

Financial Management Questions & Answers

  Assume that division is using variable costing

Assume that the division is using variable costing. How many units should be scheduled for production during the last quarter of the year? (The basic formula for computing the required production for a period in a company is Expected sales + Desired ..

  What is the base case variable cost per unit

A project has earnings before interest and taxes of $14,600, fixed costs of $52,000, a selling price of $29 a unit, and a sales quantity of 16,000 units. All estimates are accurate within a plus/minus range of 3 percent. Depreciation is $12,000. What..

  Institutional investor speculates the rise of interest rate

An institutional investor speculates the rise of interest rate in twelve months time. It therefore enters today with a local bank a twelve-month forward rate agreement to borrow Eurodollar for six months at 1.96% at contract expiration, with a notion..

  What is the current value of the companys stock

JJ industries will pay a regular dividend of $2.40 per share for each of the next four years. At the end of the four years, the company will also pay out a $40 per share liquidating dividend, and the company will cease operations. If the discount rat..

  Large american airlines passenger jet crashes

A large American Airlines passenger jet crashes and news reaches the stock market during trading hours. Information is limited at first and then becomes more detailed. How would expect the price of American Airlines to move during this period?

  Subsidiary x sells 10000 units to subsidiary y annually the

subsidiary x sells 10000 units to subsidiary y annually. the marginal income tax rate for subsidiary x is 30 and the

  What is the projected NPV using a discount rate

Big steve's makers of swizzle tickets is considering the purchase of a new plastic stamping machine. This investment requires an initial outlay of $110,000 nd will generate net cash inflows of $16,000 per year for 8 years. What is the projected NPV u..

  What was his annual rate of return on this sculpture

During 2003, a sculpture was sold at auction for a price of $10,313,500. Unfortunately for the previous owner, he had purchased it in 1999 at a price of $12,370,500. What was his annual rate of return on this sculpture?

  What is queuing theory

What is queuing theory? Describe the different types of costs involved in a queuing system. In what areas of management can queuing theory be applied successfully

  Deviation for comparing two risky stocks in isolation

When would the coefficient of variation be preferred over the standard deviation for comparing two risky stocks in isolation? Fully explain your answer.

  More customers will want hot peppers

Elly's hot dog emporium is famous for its chilidogs. Elly's latest sales indicate that 25% of the customers ordering her chilidogs order it with hot peppers. Suppose 17 customers are selected at random. What is the probability that fifteen or more cu..

  What is the total debt ratio

A firm has a long-term debt-equity ratio of 0.3. Shareholders equity is $.99 million. Current assets are $279,000, and the current ratio is 1.8. The only current liabilities are notes payable. What is the total debt ratio?

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