Is the investment attractive at this rate

Assignment Help Finance Basics
Reference no: EM13273745

An investment of $15,000 is expected to return $8,000 at the end of 5 months and 10 months. a) Compute the net present value of the investment at a simple interest rate of 10%. Is the investment attractive at this rate? b) Compute the internal rate of return to the nerest 0.01%

Reference no: EM13273745

Questions Cloud

Determine the acceleration of the rising balloon : A hot-air balloon is accelerating upward under the influence of two forces, its weight and the buoyant force. What is the acceleration of the rising balloon
Draw circuit model of path of current through the human body : Draw a circuit model of the path of current through the human body for a person touching a voltage source with both hands who has both feet at the same potential as the negative terminal of the voltage source.
What level of liquidity and solvency would you looking for : Why is this important, and would you find any of this information on the statement of cash flows? What level of liquidity and solvency would you be looking for? Why?
What is the altitude of the satellite : A converging lens with a diameter of 30.0 cm forms an image of a satellite passing overhead. what is the altitude of the satellite
Is the investment attractive at this rate : Is the investment attractive at this rate? b) Compute the internal rate of return to the nerest 0.01%
Explain how many milliliters must be diluted to make cuso4 : How many milliliters of 1.10 M CuSO4 must be diluted to make 602 milliliters of 0.400 M CuSO4
Determine nyquist sampling rate such that no aliasing occurs : The sampled signal x[n] obtained above is processed by the ideal D-to-C converters with the sampling rate (600 Hz). Obtain the representation of the continuous signal. Determine the Nyquist sampling rate such that no aliasing occurs in the sampled..
What is the magnifying power of the telescope : An elderly sailor is shipwrecked on a desert island, but manages to save his eyeglasses. What is the magnifying power of the telescope he can construct with these lenses
Calculate their expected return and standard deviation : Using the following information for McDonovan, Inc.'s stock, calculate their expected return and standard deviation.

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