How much can investor expect in annual interest

Assignment Help Finance Basics
Reference no: EM131337858

Assignment

1) Calculate the future value of 4,600 received today if it deposited at 9 percent for three years.

2) Calculate the present value of 89,000 to be received in 15 years ,assuming an opportunity cost of 14 percent.

3) Nico establishes a seven-year,8 percent loan with a bank requiring annual end-of-year payments of 960.43. Calculate the original principal amount.

4) Mr.Brown has been awarded a bonus for his outstanding work. His employer offers him a choice of a lump-sum of 5,000 today or an annuity of 1,250 a year for the next five years. Which option should Mr.Brown choose if his opportunity cost is 9 percent. ( I have the answers but want to make sure it is correct) based on the above table, on this trading day, the number of ford bonds which changed hands was ?

Based on the above table, assume this bonds face value is 1,000?. what is the bonds current market price?

Based on the above table, what is the last yield for this bond?

5) Tangshan Coal, Inc. just issued a 10 percent, 25 year bond with 1,000 par value that pays interest semiannually .

a) How much can investor expect in annual interest (in dollars)
b) How much can the investor expect in interest every six months (in dollars)
c) How much can the investor expect in par value at the end of the 25th year?

(a) $100
(b) $50
(c) $1,000

6) What is the value of an asset which pays 200 a year for the next 5 years and can be sold for 1,500 at the end of five years from now ? Assume that the opportunity cost is 10 percent?

Reference no: EM131337858

Questions Cloud

Organizational change and employee stress : Managers need to be able to effectively manage change within organizations in order to mitigate the negative impact of the change on individuals and the organization. In this assignment, you will examine how organizational change causes stress for..
Discuss about the case given below : If you know a language other than English, present on the similarities and differences (phonologically, morphologically, syntactically) between English and that other language.Your final project for the class is a paper and presentation related to ..
Support for cultural change primarily : Top Management shows support for cultural change primarily in its written letters, memos, and directives -- true or false
Check the given assignment : Check the given assignment.- The assignment is in attached file, paraphrase the sentences i.e. underlined, and check the sentence structure and grammar error in other parts.
How much can investor expect in annual interest : How much can investor expect in annual interest (in dollars)? How much can the investor expect in interest every six months (in dollars)? How much can the investor expect in par value at the end of the 25th year?
Potential arguments for gene patenting : What are some of the potential arguments for gene patenting? 250 words 1 APA source.
Is the plate being heated or cooled by the fluid : Carefully sketch the temperature distributions at x = x1 and x = x3. Based on your sketch, at which of the three x-locations is the local heat flux largest? At which location is the local heat flux smallest?
Describe the interaction : Give an example of how aviation has been affected by politics. Describe the interaction.
Impact of monetary drivers on a global firm : Visit the Kaplan Library by accessing the KU Online Library under "Course Home." Once there, enter "Marfrig Global Foods" in the Library's Search Key Word box. Then select the Marfrig Global SWOT Analysis to read about this global foods organizati..

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