Find the required level annual revenue

Assignment Help Finance Basics
Reference no: EM132062610

Question: A purchaser pays 750,000 for a min which will be exhausted at the end of 25 years. Find the required level annual revenue (received at the end of each year) in order for the purchaser to receive a 7% annual return on her investment if she can recover her principal in a sinking fund earning 4% per year.

Reference no: EM132062610

Questions Cloud

What is this temperature in fahrenheit : What is the final temperature, in Celsius, inside the combustion chamber? What is this temperature in Fahrenheit?
Determine the unknown variable : You have just purchased a Treasury Note for $1,035 that will mature in ten years. The bond has a coupon rate of 2.35%. What is its YTM?
Latest dialysis treatment : After her latest dialysis treatment, Michelle experienced vertigo and nausea. Michelle's doctor orders 0.048 gof chlorpromazine, which is used to treat nausea.
What is the amount of each mortgage payment : You purchased a piece of property for $1,056,000. The loan terms require monthly payments for 10 years at an annual rate of 4.75%.
Find the required level annual revenue : A purchaser pays 750,000 for a min which will be exhausted at the end of 25 years. Find the required level annual revenue (received at the end of each year).
What is this temperature in fahrenheit : What is the final temperature, in Celsius, inside the combustion chamber? What is this temperature in Fahrenheit?
Define how much equity will you get to keep as cash : You purchased a property 4 years ago for $275,000 using a 75% LTV mortgage. The mortgage was a 15 year fully amortizing FRM with a 3.8% rate.
Determine the nominal rate of return : You purchased a bond for $935. The bond has a face value of 1,000 and it pays a dividend at 9% annual rate twice a year.
Calculate the apr on the loan : You have just purchased a new warehouse. To finance the purchase, you've arranged for a 35-year mortgage loan for 85 percent of the $3,100,000 purchase price.

Reviews

Write a Review

Finance Basics Questions & Answers

  Financial reporting and analysis

Finance is about Gunns Ltd, a company in dealing with forestry products in Australia. The company has also been listed in Australian Stock Exchange. As many companies producing forestry products, even Gunns Ltd is facing various problems. Due to the ..

  A report on financial accounting

This report is specific for a core understanding for Financial Accounting and its relevant factors.

  Describe the types of financial ratios

Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.

  Differences between sole proprietorship and corporation

Briefly describe the major differences between a sole proprietorship and a corporation

  Prepare a cash budget statement

Calculate the expected value of the apartment in 20 years' time. What is the mortgage loan repayment at the beginning of each month

  What are the implied interest rates

What are the implied interest rates in Europe and the U.S.?

  State pricing theory and no-arbitrage pricing theory

State pricing theory and no-arbitrage pricing theory

  Small business administration

Identify the likely stage for each venture and describe the type of financing each venture is likely to be seeking and identify potential sources for that financing.

  Effect of financial leverage

The Effect of Financial Leverage and working capital management

  Evaluate the basis for the payment to the lender

Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.

  Importance of opps, ipps, mpfs and dmepos

Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.

  Time value of money

Time Value of Money project

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