What is the required quarterly deposit

Assignment Help Financial Management
Reference no: EM131944910

Your company must make a $500,000 balloon payment on a lease 2 years and 9 months from today. You have been directed to deposit an amount of money quarterly, beginning today, to provide for the $500,000 payment. The account pays 4% per year, compounded quarterly. What is the required quarterly deposit? Note: Lease payments are due at beginning of the quarter.

Reference no: EM131944910

Questions Cloud

About the value at risk : Value at risk. the repayment of principal usually must be approved by state insurance regulators.
Current article about object-oriented methodologies : Search for a current article about object-oriented methodologies, and discuss its relevance to this week's individual assignment. Cite your sources.
Business model and future of the business - dominos pizza : Clearly and succinctly define the terms business model and disruption based on a short literature review - Cochlear implant manufacture and service
Classified as stakeholder for corporation : Identify a party (other than stockholders) that can be classified as a stakeholder for a corporation.
What is the required quarterly deposit : The account pays 4% per year, compounded quarterly. What is the required quarterly deposit?
State your key points and main points in complete sentences : State your key points and main points in complete sentences. Summarize key points of introduction with a call for action in your conclusion.
Determine how american depositary receipts : Determine how American Depositary Receipts (ADRs) facilitate trading in foreign securities?
Major risk management methods include loss control : Major risk management (RM) methods include loss control, loss financing, and internal risk reduction.
How does the hr function influence turnover : Explain how each of the HR staffing, training & development, and performance management functional areas relates to turnover.

Reviews

Write a Review

Financial Management Questions & Answers

  Why do companies acquire other companies

Why do companies acquire other companies?

  What is lauryns asset beta

You are going to value Lauryn’s Doll Co. using the FCF model. After consulting various sources, you find that Lauryn has a reported equity beta of 1.8, a debt-to-equity ratio of 0.3, and a tax rate of 30 percent. Based on this information, what is La..

  Private cemetery business

The Yurdone Corporation wants to set up a private cemetery business. According to the CFO, Barry M. Deep, business is "looking up." As a result, the cemetery project will provide a net cash inflow of $88,000 for the firm during the first year, and th..

  Provide qualitative description of the PEG ratio

Provide a qualitative description of the PEG ratio as well as one possible reason each for and against using this ratio as a valuation tool.

  Determine the incremental benefit-cost ratio

Determine the incremental benefit-cost ratio that the contractor should use to decide between buying and renting.

  Calculate vintages return on equity

The total assets to equity ratio for the firm is 1.5. Calculate Vintage’s return on equity.

  How much money will the account have after 10 years

After 10 years, I start using the account, withdrawing X dollars per month. I emptied the account in five years. How big is X.

  Economically preferable to use higher octane gasoline

Casey must determine ifit is economically preferable to use higher octane gasoline in his new car. The higher octane has a cost of higher than that of the lo octane gas. $0.20/gallon year.  His car has an initial cost of $22,000 and an assumed salvag..

  Analyzed the project whose cash flows

Cornell Systems analyzed the project whose cash flows are shown below. It is 100% debt financed. The tax rate is 20%. The yield on company`s bond is 6,25% Year 0 1 2 3 Cash flows -$950 $500 $400 $300 Calculate the projects NPV, Profitability ratio an..

  Local chamber of commerce to promote her business

Jane is purchasing a membership in the local Chamber of Commerce to promote her business.

  Inherent risk factors-directly affect purchasing process

Inherent risk factors that directly affect the purchasing process include:

  Zero book value over the five-year life of the project

A project has an initial requirement of $83,389 for equipment. The equipment will be depreciated to a zero book value over the 5-year life of the project. The investment in net working capital will be $19,548. What is the project’s net present value ..

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