What is the present value of the payment to be received?

Assignment Help Macroeconomics
Reference no: EM13199188

You expect to receive a payment of $104 one year from now. Your discount rate is 4 percent. What is the present value of the payment to be received? Suppose that the discount rate is 5 percent. What is the present value of the payment to be received?

Reference no: EM13199188

Questions Cloud

What is the purchasing power of the present value : Jerry will receive the following payments: 905 in year 3, 952 in year 5 and 933 in year 9. What is the purchasing power of the present value of these payments if the market interest rate is 16% per year and the inflation rate is 8% per year
Find the ground speed and the course of the airplane : An airplane is traveling with an airspeed of 420 mph and a heading of 72 degrees. a wind of 32 mph is blowing at a heading of 130 degrees. find the ground speed and the course of the airplane.
Wise judgment scenario : A teenage girl is "in love" with her 17-year-old boyfriend. He is encouraging her to have sex with him saying that he will make sure they only have "protected" sex. A man has had a difficult time finding a job that pays enough to support his family. ..
What values of a1 , a2 , ß1 , ß2 : for all x = (x1, x2), y = (y1, y2) ∈ V , α1, α2, β1, β2 some fixed real numbers, and scalar multiplication is the usual scalar multiplication. What values of α1 , α2 , β1 , β2 make V a vector space (over R).
What is the present value of the payment to be received? : You expect to receive a payment of $104 one year from now. Your discount rate is 4 percent. What is the present value of the payment to be received. Suppose that the discount rate is 5 percent.
Meaning of the long-run equilibrium is : Suppose that an increase in jewellery demand induces a a surge for in the demand for gold. Using diagrams from part a show what happens in the short run to the gold market and to each existing gold mine.
Drawbacks of a mandatory national identity card : What are the benefits and drawbacks of a mandatory National Identity Card? Specifically address whether the card will be effective in increasing the security of the U.S. or will it infringe on civil liberties.
What are the dimensions of the room : the area of a rectangular room is 392 feet squared. the length is twice the width. what are the dimensions of the room?
Why do we need to care about gdp : it does not allow for the health of our children, the quality of their education, or the joy of their play. id does not include the beauty of our poetry or the strength of our marriages, the intelligence of our public debate or the integrity of ou..

Reviews

Write a Review

Macroeconomics Questions & Answers

  What are the percentage increases in the price of food

What are the percentage increases in the price of food and in the price of clothing and what is the percentage increase in the CPI?

  Explain why did the us abandon the standard in the first

Our currencies value vis a vis other currencies. Explain why did the US abandon the standard in the first place.

  Ceo pay appears to be on the rise again

CEO pay appears to be on the rise again. Also executive pay in the US is about 20 times higher than it is in European countries.

  Plotting the demand curve

Use the demand curve to help you calculate the number of DVDs rented per month and the amount of consumer surplus derived at a rental price of $5.

  Suppose that the airplane can be purchased from an outside

Suppose that the airplane can be purchased from an outside supplier. What is the relevant unit cost for this make-or-buy decision.

  Illustrate what were some of the major contributing factors

Illustrate what were some of the major contributing factors and how did they combine to cause the recession. How were you affected by it.

  Is there a parallel among diminishing marginal utility

Is there a parallel among diminishing marginal utility in consumption and diminishing returns in productio.

  Describe the following from an economic perspective

Describe the following from an economic perspective and give numerical examples:

  Illustrate what has happened to value of the real exchange

Illustrate what has happened to the value of the real exchange rate over time. What is the significance of this change in value.

  Explain fluid structure interaction modeling

The company's computer system uses fluid structure interaction modeling to test and analyze each airbag design concept. What is the present worth of the concept at 16% per year, compounded quarterly, if the quarterly cost in years 1 through 5 is $..

  Creating a tabular or graph

Assume that I am selling cans of beer to people on a beach. Since I am concerned about my income, I decide to sell beer in the following way.

  Protection on imports will have on factor prices

Show the effect that reducing protection on imports will have on factor prices. Show the effect of reducing protection will have on factor prices.

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