How much is the investment worth at the end of year four

Assignment Help Financial Accounting
Reference no: EM132920045

Problem 1: You have just purchased an investment that generates the cash flows shown below for the next four years. You are able reinvest these cash flows at 4.02 percent, compounded annually. How much is this investment worth at the end of year four?

End of year

$166
$1,086
$491
$224

Reference no: EM132920045

Questions Cloud

What is the bond intrinsic value : Moerdyk Corporation's bonds have a 15-year maturity, a 5.25% coupon rate with interest paid semiannually, What is the bond's intrinsic value
What is the expected rate of return on the share : The probabilities of an economic boom, normal state or recession are 30%, 50% and 20%, respectively. What is the expected rate of return on this share?
Explain in details the different business analytics tools : Explain in details the different business analytics tools that are used by businesses.
What is the variable overhead rate variance : Jupiter Co. spent $113,400 for variable overhead. 9,150 labor hours were used to produce 2,400 units. What is the variable overhead rate variance
How much is the investment worth at the end of year four : You are able reinvest these cash flows at 4.02 percent, compounded annually. How much is this investment worth at the end of year four?
Compute diluted earnings per share : In 2012 Green Enterprises issued, at par, 40, $2,500, 12% bonds, each convertible into 100 shares of common stock. Compute diluted earnings per share
Find how much money should place in the savings account : How much money should you place in this savings account every month in order to accumulate the required amount to buy the house of your dreams?
What is the amount of the monthly payments : A commercial bank will loan you $43,654. The annual interest rate on the loan is 7.90 percent of the unpaid balance. What is the amount of the monthly payments?
What is her cash flow under the current capital structure : Ms. Brown, a shareholder of the firm, owns 100 shares of stock. What is her cash flow under the current capital structure

Reviews

Write a Review

Financial Accounting Questions & Answers

  Make the journal entry to record the issuance of the share

Create the journal entry to record the issuance of the shares, the declaration of a $2.10 per share dividend on December 1, 2018

  How to estimate the rupiah riskless rate

How to Estimate the rupiah riskless rate. S&P has a rating of BB on these bonds, and the typical spread for a BB-rated country is 5% over a riskless rate.

  Break-even-analysisgarth company sells a single product if

break-even-analysisgarth company sells a single product. if the selling price per unit and the variable expense per

  How might be applied to the topic of adjusting entries

How might be applied to the topic of adjusting entries. We are learning about this topic about adjusting entries. If our business affairs are to be conducted

  What is internal rate of return for each option

What is the net present value, profitability index, and internal rate of return for each option? Brooks Clinic is considering investing in new heart-monitoring

  Calculate late filing penalty for missing filing deadline

Calculate the late filing penalty for missing the filing deadline and explain any possible additional costs to the employer related to this oversight

  How accountant provide accounting data related to social

Discuss accounting and reporting issues related to corporate social responsibility and how accountant provide accounting data related to social responsibilities

  Prepare the income statement and the balance sheet

Below are the accounts for Green Inc. The company has just completed its second year of operations ended December 31, 2013. Prepare the (1) Income Statement and the (2) Balance Sheet for Green Inc. for the year-ended 12/31/13. Use proper headings whe..

  Which statement is incorrect regarding partnership agreement

Which statement is incorrect regarding partnership agreements? Which partnership records a partner's investment of assets in the business at the

  Journal entries up to december

Journal entries up to December 31, 2011 (indicate the date in the entry) On October 1, 2010, WAH Company received a 9% note from a customer in the amount

  Write appropriate journal entry for canadiens corporation

Write all appropriate journal entries for Canadiens Corporation for the above dates. Canadiens Ltee. follows a policy of a 10% depreciation charge

  What is a restriction when working with linked access tables

What is a restriction when working with linked access tables? What view is used to size field names and controls and to apply formats.

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