Already have an account? Get multiple benefits of using own account!
Login in your account..!
Remember me
Don't have an account? Create your account in less than a minutes,
Forgot password? how can I recover my password now!
Enter right registered email to receive password!
On 5 October, someone in California bought the winning ticket for Powerball, whose prize was described as $699.8 million. The lucky winner gets 30 annual payments, the first payment now and the last payment 29 years from now. The amount of the payments increases by 5% per year. Assume inflation is 0%.
a) What is the nominal value of the first payment?
b) The present value of the jackpot is said to be $496 million. Given the nominal value of the first payment that you found in part a), what discount rate is implicitly being used?
c) Suppose that Powerball changed its jackpot payment schedule to include a $100 million balloon payment in 29 years, with the remaining $599.8 million paid out as per above. Using the discount rate you found in b), what now would be the present value of the jackpot?
d) Compare the PV in parts b) and c). If you find that they differ, then briefly explain why.
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 ..
This report is specific for a core understanding for Financial Accounting and its relevant factors.
Describe the types of financial ratios and other financial performance measures that are used during venture's successful life cycle.
Briefly describe the major differences between a sole proprietorship and a corporation
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 in Europe and the U.S.?
State pricing theory and no-arbitrage pricing theory
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.
The Effect of Financial Leverage and working capital management
Evaluate the basis for the payment to the lender and basis for the payment to the company-counterparty.
Research and discuss the differences and importance of : OPPS, IPPS, MPFS and DMEPOS.
Time Value of Money project
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!
whatsapp: +1-415-670-9521
Phone: +1-415-670-9521
Email: [email protected]
All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd