User Account

All Pages

What is the future value of these payments

Assignment Help Financial Accounting
Reference no: EM132845800

Questions -

Q1. You expect to receive P1,000 at the end of each of the next 3 years. You will deposit these payments into an account which pays 10%, compounded semiannually. What is the future value of these payments, that is, the value at the end of the third year?

a. P3,318.01

b. P3,993.00

c. P7,986.00

d. P665.50

Q2. You plan to invest an amount of money in a certificate of deposit (CD) at your bank. The stated interest rate applied to the CD is 12%, compounded monthly. How much must you invest if you want the balance in the CD account to be P8,500 in 2½ years?

a. P11,302.14

b. P6,306.34

c. P11,941.89

d. P143,302.66

Q3. Justine is thinking about purchasing an investment from RCBC Capital. If she buys the investment, Justine will receive P1,000 every three months for two years. The first P1,000 payment will be made as soon as she purchases the investment. If Justine's required rate of return is 16%, how much should she be willing to pay for this investment?

a. P1,368.57

b. P10,764.80

c. P7,002.05

d. P1,345.60

Q4. If you need P350,000 for a down payment on a house in 3 years, how much money must you invest today at 8% interest, compounded quarterly, to achieve your goal?

a. P277,841.28

b. P275,972.61

c. P128,694.27

d. P44,388.46

Q5. Your firm rents office space for P250,000 per year, due at the BEGINNING of each year. If your firm's hurdle rate is 10%, what is the present value of five years' worth of rent?

a. P1,042,466.36

b. P402,627.50

c. P170,753.36

d. P155,230.33

Q6. You expect to receive P1,000 at the END of each of the next 3 years. You will deposit these payments into an account which pays 10 percent, compounded semiannually. What is the future value of these payments, that is, the value at the end of the third year?

a. P1,157.63

b. P1,340.10

c. P1,331.00

d. P3,318.01

Reference no: EM132845800

Questions Cloud

Explain fallacy of hasty generalization-sort of reasoning : Explain the difference between the fallacy of hasty generalization and the sort of reasoning used in pattern recognition. Give an example (not necessarily from
What will the shareholding of the original shareholders : Super-IT Ltd had 10,300,000 issued shares. What will the shareholding of the original shareholders be after the issue of the new shares to the new investors
Discuss lessons in leadership with the examples of president : Identify a leadership example from President Nixon's handling of the Watergate issue.Discuss lessons in leadership with the examples of President Nixon.
Discuss common pitfalls in instructional improvement efforts : Discuss the common pitfalls in instructional improvement efforts. Are any of these likely to present problems for your school or district?
What is the future value of these payments : You will deposit these payments into an account which pays 10 percent, compounded semiannually. What is the future value of these payments
Describe the growth of first party system in united states : Describe the growth of the first party system in the United States. How did these parties come to develop? How did they define themselves
Describe pre-requisite skills or knowledge to complete task : Describe at least three pre-requisite skills or knowledge needed to complete the task. In the sandwich example, pre-requisite knowledge might include knowing.
What are the economic and political issues raised : What are the economic and political issues raised by having an imbalance between free and slave states? Why did the balance of free and slave states matter?
Prepare the share capital section of the shareholders equity : Villarama Corporation was organized on Jan 1. 2019. Prepare the share capital section of the shareholders' equity as at Dec. 31, 2019

Reviews

Write a Review

Financial Accounting Questions & Answers

  How much will ella need to save annually over next 30 years

Assuming her account will earn 10% interest during the next 30 years and 6% interest afterwards forever, how much will Ella need to save annually over the next 30 years to fund her retirement account?

  Prepare a traditional income statement for each week

Prepare a traditional income statement for each week. Calculate the average value-stream product cost for each week. What does this cost signal, if anything?

  Compute what is amount of current tax payable by young ltd

For accounting purposes, plant is depreciated using the straight-line, What is the amount of current tax payable by Young Ltd for the year ended 30 June 2020?

  Explains the relationship between finance and accounting

Write a paper of 500 words that explains relationship between finance and accounting, and how they operate to determine financial viability within organization.

  What should amelia report as total contributed capital

Subscribed shares were paid for on January 2, 2017. What should Amelia report as total contributed capital on its December 31, 2016, balance sheet?

  Explain the concept of materiality in the case

Assets of land and buildings that will be used as collateral, then you consider these findings as material. Explain the concept of materiality in this case

  Statement of cash flows operating activities

Nikels prepares its statement of cash flows using the direct method. If Nikels sells equipment for a gain of $35,000 when the book value is $100,000 what amount will be reported on the statement of cash flows operating activities section related to t..

  Compute the present value of lottery winnings

December 31 of each year beginning on December 31, 2017. If the current interest rate is 6%, compute the present value of your lottery winnings.

  Explain the major accounting treatments

Explain the major accounting treatments (company used in its financial statements in relation to MFRS 39 and subsequently MFRS 9)

  Evaluate ethical issues that arise from the case study

Evaluate ethical issues that arise from this case study using the conceptual framework approach from the Code of Ethics for Professional Accountants.

  Calculate the npv of project using foreign currency approach

Calculate the NPV of the project using foreign currency approach. ABC Ltd. is considering a project in US, which will involve an initial investment

  On september 1 northhampton industries signed a six-month

on september 1 northhampton industries signed a six-month lease for office space which is effective september 1.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd