What is the length of the annuity time period

Assignment Help Financial Management
Reference no: EM131501583

You are considering an annuity which costs $52700 today. The annuity pays $4800 a year. The rate of return is 8 percent. What is the length of the annuity time period? (Do not round intermediate calculations.)

Reference no: EM131501583

Questions Cloud

Compute the value of a share of common stock : Compute the value of a share of common stock of Lexi's Cookie Company. Assume a 10 percent required rate of return.
Are there ways to safely discard technology products : Are there ways to safely discard technology products that have become obsolete, or should manufacturers be required to only develop products.
Examine earlier periods of medical advancement : Examine earlier periods of medical advancement covered in the text. Explain why the development of antibiotics was of such profound importance.
Analyze differences between design and effective capacity : Analyze two or three differences between design capacity and effective capacity, and then predict one or two challenges that you may encounter when using each m
What is the length of the annuity time period : The rate of return is 8 percent. What is the length of the annuity time period?
What is the value of siebel using the dcf method : What is the value of Siebel using the DCF method? What is the value using the comparable recent transactions method?
Vita-juice project analysis-algebraic time value of money : Vita-Juice Project Analysis-financial functions or algebraic time value of money equations to answer these questions in your spreadsheet.
The impact of unemployment on the individual and society : Being an unmarried pregnant teenager and the impact that unmarried teen pregnancy has on the individual and society.
Explain how mrp can decrease a companys inventory : Explain how MRP can decrease a company's inventory while improving its customer service level. Include a real-life example.

Reviews

Write a Review

Financial Management Questions & Answers

  How long would take claudia working alone to paint room

On a particular day, the campus bookstore sold 30 T-shirts. White ones cost $9.95 and yellow ones cost $10.50. Total sales of T-shits were $310.60. How many white shirts were sold? If working alone, Marcus can paint a room in 3.15 hours. Working toge..

  Make earnings per share

Jackson Inc. and Simon are two identical firms operating in identical markets. Jackson is unlevered with assets valued at $3,000 and has 175 shares of stock outstanding. Simon also has $3,000 in assets and has $1,200 in debt financed at an interest r..

  Most frequently use which two types of investment criteria

In actual practice, managers most frequently use which two types of investment criteria?

  The correlation between stocks is equal

The correlation between stocks A and B is equal to the:

  Derive the price of the preferred stock

A preferred stock is paying $6 per annum and is callable after 7 years. The yields for similar instruments are 8%. Derive the price of the preferred stock. What is its price, if it is not callable?

  What is the best estimate of these bonds remaining life

Lloyd Corporation's 14% coupon rate, semi annual payment, $1,000 par value bonds, which mature in 30 years, are callable 5 years from today at $1,050. They sell at a price of $1,353.54, and the yield curve is flat. Assume that interest rates are expe..

  Offered some securities for sale to the public

In March 2012, Daniela Motor Financing (DMF), offered some securities for sale to the public. Under the terms of the deal, DMF promised to repay the owner of one of these securities $500 in March 2037, but investors would receive nothing until then. ..

  Advertisement from newspaper or magazine for product

Choose an advertisement from a newspaper or magazine for a product or service about which you have some interest. The ad probably does not have sufficient space to provide all information you need to make an intelligent purchase decision. Write to th..

  How long it will take to get the investment back

Pizza has finally narrowed down to two college towns, Collegeville and University City, to open their new location this August, just in time for the fall semester. The Collegeville location requires an initial investment of $126,000, whereas Universi..

  Calculate the deadweight loss of given tax

Calculate the deadweight loss of this tax when: -  Supply of stuffed rabbits is Q = 400., - Supply of stuffed rabbits is Q = 12P.

  Capital budgeting analysis indicates project

Even if a capital budgeting analysis indicates a project will have a positive NPV, the project could in fact turn out not to be profitable.

  Finance for exploratory resources

You are the vice president of finance for Exploratory Resources, headquartered in Houston, Texas. In January 2010, your firm's Canadian subsidiary obtained a 6 month loan of 100,000 Canadian dollars from a bank in Houston to finance the acquisitio..

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