What is present value

Assignment Help Financial Management
Reference no: EM131837398

What is the present value of $2,725 per year, at a discount rate of 10 percent, if the first payment is received 8 years from now and the last payment is received 21 years from now? (Do not round intermediate calculations and round your answer to 2 decimal places, e.g., 32.16.)

Reference no: EM131837398

Questions Cloud

What is the par value of the common stock : A firm has $3,000,000 in its common stock account and $30,000,000 in its paid-in capital account. What is the par value of the common stock?
What is the market value of mmcs common stock : Investors require a 12 percent rate of return to purchase MMC's common stock. What is the market value of MMC's common stock?
Create spreadsheet model with time line : Create a spreadsheet model with time line to calculate your payment and interest paid in each quarter.
What is your net dollar sales projection for year : Cyber Security Systems had sales of 3,300 units at $55 per unit last year. What is your net dollar sales projection for this year?
What is present value : What is the present value of $2,725 per year, If the first payment is received 8 years from now and the last payment is received 21 years from now?
Compute incremental net income of investment for each year : The Dante Manufacturing Company is considering a new investment. Compute the incremental net income of the investment for each year.
What will be the change in price per share : What will be the change in price per share, assuming the stock was in equilibrium before the changes?
An account at bank pays interest at nominal rate : An account at a bank pays interest at a nominal rate of 2% per year compounded monthly. What are the monthly, quarterly and yearly growth factors,
What is the annual percentage rate on this account : An account at a bank pays interest of 0.1% per month - compounded monthly. What is the annual percentage rate (APR), on this account?

Reviews

Write a Review

Financial Management Questions & Answers

  Most obvious economic reason for the persistent depreciation

Mexico tends to have much higher inflation than the United States, as well as much higher interest rates. Inflation and interest rates are much more volatile in Mexico than in industrialized countries. Identify the most obvious economic reason for th..

  Will an overall assessment of bolivia country risk suffice

Suppose an MNC is considering investing in Bolivia. Will an overall assessment of Bolivia’s country risk suffice to understand the political risk present in the investment?

  What is the present value of the free cash flows projected

What is the present value of the free cash flows projected during the next 4 years?

  What was the cash flow to creditors

What was the operating cash flow for 2014? If no new debt was issued during the year, what was the cash flow to creditors?

  What do you notice about the price and the cost of debt

What is the cost of debt for Kenny Enterprises if the bond sells at the following prices? What do you notice about the price and the cost of debt?

  Company needs to borrow in the forthcoming period

You construct a pro forma income statement and balance sheet in order to estimate the amount a company needs to borrow in the forthcoming period.

  In the major world capital markets

In the major world capital markets, the barriers to the free flow of capital include all of the following except. low transaction costs b. taxation policies c. foreign exchange d. risks legal restrictions.

  Rate of return if state occurs

Rate of Return if State Occurs. Calculate the expected return for Stock A. Calculate the standard deviation for Stock B

  What tensions exist between protection of the publics

for this assignment you are being asked to consider ethical issues in public health and health services. using course

  Receivables investment-sales outstanding

McDowell Industries sells on terms of 3/10, net 30. Total sales for the year are $715,000; 40% of the customers pay on the 10th day and take discounts, while the other 60% pay, on average, 50 days after their purchases. Assume 365 days in year for yo..

  How does the price of financial futures contract change

How does the price of a financial futures contract change as the market price of the security it represents changes? Why?

  What would be the expected rate of return

If the value of the current stock is $35, what would be the expected rate of return?

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