How much can hernandez expect to receive from the sale

Assignment Help Finance Basics
Reference no: EM13873439

1. Zarita Enterprises earns 8% on an investment that pays back $110,000 at the end of each of the next 4 years. What is the amount Zarita Enterprises invested to earn the 8% rate of return?

2. Hernandez Railroad Co. is about to issue $100,000 of 10-year bonds paying a 10% interest rate, with interest payable semiannually. The discount rate for such securi- ties is 8%. How much can Hernandez expect to receive from the sale of these bonds?

Reference no: EM13873439

Questions Cloud

Paid dividends-preferred stockholders-common stockholders : Mr. Husker’s Tuxedos Corp. began the year 2015 with $282 million in retained earnings. The firm earned net income of $46 million in 2015 and paid dividends of $7 million to its preferred stockholders and $16 million to its common stockholders. What i..
Determine the amount of energy consumed by the motor : A person gets into an elevator at the lobby level of a hotel together with his 30-kg suitcase, and gets out at the 10th floor 35 m above. Determine the amount of energy consumed by the motor of the elevator that is now stored in the suitcase.
Why do marxists believe that capitalism : write an essay on Some of the literature- the book dunne, kurki Smith -Rupert mark 2007 marking and critical theory the book dunne chapter8-rosenbergjustin 1994 the empire of civil society a critique of realist theory of international relations Lo..
Perfectly fitting pot and its lid often stick : A perfectly fitting pot and its lid often stick after cooking, and it becomes very difficult to open the lid when the pot cools down. Explain why this happens and what you would do to open the lid.
How much can hernandez expect to receive from the sale : Hernandez Railroad Co. is about to issue $100,000 of 10-year bonds paying a 10% interest rate, with interest payable semiannually. How much can Hernandez expect to receive from the sale of these bonds?
What is the project npv? : What is the project NPV?
Describe how human activity contributed to the dust bowl : Assume that you are teaching an introductory Earth Science course and that you have just assigned Chapter 6 of the text. A student in the class asks why glaciers, deserts, and wind are included in the same chapter. Formulate a response that connec..
Evaluate the financial statements and the financial position : Evaluate the financial statements and the financial position of health care institutions
What is the price of the bonds as percentage of pars : Ramstucky Corp bonds just paid their annual coupon of 4%. They mature in 6 years. The required rate of return on the bonds is 5%. So it’s a $10,000 bond selling for $9,000. The call price of the bonds is 102, but they are not callable until after the..

Reviews

Write a Review

Finance Basics Questions & Answers

  Calculate implied value of a mexican peso in terms of euro

Assume a U.S. dollar is worth 10.38 Mexican pesos and .64 euro's. Calculate the implied value of a Mexican Peso in terms of a euro.

  In each case identify on the blank line whether the item is

the following items and amounts were taken from linus inc.s 2012 income statement and balance sheet.cash84700accounts

  Mme barefield wishes to have 150000 at the end of 8 years

mme. barefield wishes to have 150000 at the end of 8 years. how much must she invest today to accomplish this purpose

  Jella cosmetics is considering a project that costs 750000

jella cosmetics is considering a project that costs 750000 and is expected to last for 9 years and produce future cash

  Problem regarding the pierre imports

Pierre Imports will be liquidated. Its current balance sheet is shown below. Current assets are sold for $600,000 and fixed assets are sold for $1,000,000. All fixed assets are pledged as collateral for all mor tgage bonds. Subordinated debentures..

  Key determinant of financial leverage

All other factors held constant, the present value of a given yearly annuity decreases as the number of discounting periods each year increases.

  Leroy owns a small hardware store that is known for its

1.chris orders a salad at a restaurant. what is the best definition of what he is buying?nbspnbsp a chris is buying

  Explain why stock buybacks are similar to dividends from

the purchase of treasury stock commonly called stock buybacks is being done with increasing frequency in lieu of

  Your christmas ski vacation was great but it unfortunately

your christmas ski vacation was great but it unfortunately ran a bit over budget. all is not lost you just received an

  What is the projects free cash flows in year 5

At the end of the life of the project the net working capital would be fully recovered. What is the projects free cash flows in year 5?

  What is the projects mirr

Project K costs $35,000, its expected cash inflows are $12,000 per year for 8 years, and its WACC is 9%. What is the project's MIRR? Round your answer to two decimal places.

  What are the financial implications if it does not

Define Weighted Average Cost of Capital and explain why a company must earn at least its Weighted Average Cost of Capital on new investments. What are the financial implications if it does not?

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