What is the present value of an annuity

Assignment Help Financial Management

Reference no: EM13881167

What is the present value of an annuity due that pays 250 dollars per year for 4 years, if the appropriate discount rate is 5.0 percent per year, compounded annually?

Reference no: EM13881167

Questions Cloud

In 1956, nicolai rizzoli opened a pizza restaurant : In 1956, Nicolai Rizzoli opened a pizza restaurant that he named Rizzoli in St. Louis, Missouri. Over the years, he opened both company and franchise locations and grew the business to include over 40 restaurants that serve the three states around..

Tennessee harvester corporation issued debenture bonds : 1.On January 1, 2013, Tennessee Harvester Corporation issued debenture bonds that pay interest semiannually on June 30 and December 31. Portions of the bond amortization schedule appear below:

The parties (who is the plaintiff : the Parties (Who is the plaintiff? The defendant? The appellant? The appellee?) the History of the case (Who won at trial court? Who won at the lower appellate level? Who won in this decision?) the Facts (What happened that caused the plainti..

Real interest rates compared to nominal interest rates : You observe that the current interest rate on short-term U.S. Treasury bills is 2.64 percent. You also read in the newspaper that the GDP deflator, which is a common macroeconomic indicator used by market analysts to gauge inflation rate, currently i..

What is the present value of an annuity : What is the present value of an annuity due that pays 250 dollars per year for 4 years, if the appropriate discount rate is 5.0 percent per year, compounded annually?

What is the present value of an ordinary annuity : What is the present value of an ordinary annuity that pays $40 every 6 months, for 10 years, if the interest rate is 8.0 percent per year, compounded semi-annually?

What the relationship of the individual citizen : What the relationship of the individual citizen to the federal government and to the state government under the proposed Constitution? How does the relationship come to terms with the idea that a republic must "guard one part of society against the ..

What is the main goal for accounting rules : What is the main goal for accounting rules in the United States and around the world? What characteristics must financial information possess to reach that goal?

What is the net present value of the factory : A factory costs $860,000. You reckon that it will produce an inflow after operating costs of $176,000 a year or 10 years. If the opportunity cost of capital is 12%, what is the net present value of the factory? What will the factory be worth after ni..

User Account

All Pages