What is the rate of return investors earn on this investment

Assignment Help Financial Accounting
Reference no: EM132916499

Question - You are considering investing in a security that will pay you ?$2,000 in 30 years. If the appropriate discount rate is 8 percent?, what is the present value of this? investment?

Assume these investments sell for ?$551 in return for which you receive ?$2,000 in 30 years. What is the rate of return investors earn on this investment if they buy it for ?$551??

Reference no: EM132916499

Questions Cloud

Evaluate information in order to formulate analytically : Evaluate information and data in order to formulate analytically sound decisions and understand the likely consequences of those decisions.
Discussed by professionals in your field : Discuss which you think are more important to be discussed by professionals in your field and why?
Controversial or non-research-based methods : You identified two controversial or non-research-based methods to help build communication skills among nonverbal students.
Explain maslow hierarchy of needs theory : Briefly explain Maslow's Hierarchy of Needs theory. What is the main problem with a Theory X style, according to Douglas McGregor?
What is the rate of return investors earn on this investment : Assume these investments sell for ?$551 in return for which you receive ?$2,000 in 30 years. What is the rate of return investors earn on this investment
What annual rate of return must Kirk earn : Assume that the cost of the ring will be $13,000 in 8 years. Kirk currently has $4,452 to invest. What annual rate of return must Kirk earn
What the total interest paid by the time this loan is repaid : Consider a 25-year $500,000 loan with monthly compounding and quarterly payments with interest of 5% (APR). What the total interest paid by the time
Generalization of the desired behavior : You will select at least one tactic for promoting generalization that could be used to support the student's generalization of the desired behavior.
Discuss the risks involved with those expectations : Identify a situation from your own experience that involves making decisions using expected value, and detail the different options, expectations, and payouts.

Reviews

Write a Review

Financial Accounting Questions & Answers

  Financial statement analysis and preparation

Financial Statement Analysis and Preparation

  Shareholder of a company

Describe the ways that a person can become a shareholder of a company. Why Wal-Mart would split its stock?

  Financial and accounting principles

An understanding of financial and accounting principles can be a valuable tool for managers. While not all managers will find themselves calculating financial ratios or preparing annual financial data.

  Prepare a statement of cash flow using the direct method

Prepare a Statement of Cash Flow using the Direct Method and Prepare the Operations section of the Statement of Cash Flow using the Indirect Method.

  Financial accounting assignment

This assignment has one case study and two question apart from case study. Questions related to document Liquidation question and Company financial statements question - Torquay Limited

  Prepare general journal entries for goela

Prepare general journal entries for Goela Ltd

  Principles of financial accounting

Prepare the journal entry to record the acquisition of the assets.

  Prepare general journal entries to record the transactions

Prepare general journal entries to record the transactions, assuming use of the periodic inventory system

  Global reporting initiative

Compare the view espoused by the economist Milton Friedman about the social responsibilities of business with the views express by Stigler.

  Explain the iasb conceptual frameworks

Explain the IASB Conceptual Framework's perspective of users and their decisions.

  Determine the company''s financial statements

T he focus of the report is to determine the extent to which you are comfortable relying on the financial statements as presented by management .

  Computation of free cash flow

Computation of Free Cash Flow

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