Valuating the return on the investment

Assignment Help Finance Basics
Reference no: EM1312366

Valuating the return on the investment

Ray Seo has $5,000 to invest in a small business venture. His partner has promised to pay him back $8,200 in five years. What is the return earned on this investment?

a) 9.3%

b) 8.7%

c) 11.1%

d) 10.4%

Reference no: EM1312366

Questions Cloud

Determining if peanut butter is carcinogenic : Explain the experiments, their expected results, and your conclusions. You may suppose that you have an unlimited budget and an Institutional Review Board with very strict guidelines for research in humans.
Compute the quantity demand by each consumer : Karen earns $75,000 in the current period and will earn $75,000 in the future. Assuming that these are the only two periods, and that banks in her country borrow and lend at an interest rate r = 0, draw her inter-temporal budget constraint.
Addition rule using contingency table : What is the probability that a cereal would either high calorie or high fiber? In other words, what is P(high calorie or high fiber)?
How can avon have a larger balance of treasury stock : How can Avon have a larger balance of treasury stock than the sum of Common Stock and Paid-in Capital in Excess of Par
Valuating the return on the investment : Valuating the return on the investment and What is the return earned on this investment
The near & far points of this person''s uncorrected vision : A person's prescription for her new bifocal glasses calls for a refractive power of -0.461 diopters in the distance-vision part, & a power of +1.83 diopters in the close-vision part. Compute the near & far points of this person's uncorrected visio..
Opportunity cost of a doctor for investigation : What is the opportunity cost of going to a doctor to be examined for skin cancer? Would eliminating research reduce or increase the cost of U.S. health care?
Shareholder''s equity section from the image file details : Record issuance of the bonds payable on December 31, 20X6, the semiannual interest payment on June 30, 20X7, and the payment on December 31, 20X7.
Discussing process of reverse transcription. : What enzymatic activity does a reverse transcriptase perform? State the name of the human reverse transcriptase? Where on chromosomes does it function?

Reviews

Write a Review

Finance Basics Questions & Answers

  Preparation of a balance sheet with given trial balance

Prepare a balance sheet at December 31, 2007 for John Nalezny Corporation and Ignore income taxes

  Computation of value of stock and stock prices

Computation of value of stock and find What are the stock prices for each company

  Computation of expected returns and variances and covariance

Computation of expected returns and variances and covariance of stocks and Choose your own risk aversion coefficient

  Computation of breakeven volume in units

Computation of breakeven volume in units and in dollar sales and breakeven chart and Determine the breakeven volume in units and in dollar sales

  Computation of growth rate and interest rate

Computation of growth rate and interest rate and What is the annual compound growth rate if the dividends

  Computing npv in capital budgeting exercise

United Technologies is not totally certain that salvage value will be this amount and wants to find out NPV without this amount in capital budgeting exercise. NPV would therefore be?

  Questions regarding elements of net working capital

questions regarding elements of net working capital and What would you suggest to fix the problem and How would it work

  Determining the portfolio-s expected returns

Portfolio is invested 37.7% in Stock A, 26.6% in Stock B, and remainder in Stock C. Expected returns are 19%, 26.1%, and 11.8% respectively. Determine the portfolio's expected returns?

  Compute the present value of a two-period annuity

Compute the present value of a two-period annuity of $1 per period if the discount rate is 10 percent.    A two-period annuity of $1 per period has a present value of $1.808.  Find the discount rate from the present value table.

  Computation of interest charges using degree

Computation of interest charges using degree of combined leverage and what will be the new level of annual interest charges

  Calculation of npv of lease payments

Calculation of NPV of lease payments and capital contribution decision to the lease project proposed and Why did you select the cash flow level and the discount rate that you used

  Creating balance sheet using mark-to-market method

Applying the Mark-to-market method, what will Novi Company show on its balance sheet at the end of 2006 to reflect its investment in Troy Company?

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