User Account

All Pages

Which option is better as contacted bank

Assignment Help Financial Accounting
Reference no: EM132956207

Time Value of Money

You won a state lottery and will receive a payout of $20 million after taxes. In addition, you have two payout options from the lottery commission:

  • Starting immediately, a 20-year yearly payment stream of $1,199,151.34 or a lump sum payment of $20 million.

Problem 1: You contacted your bank, who advised you that they could provide you a 1% interest rate if you placed the lump sum with them. Which option is better?

Reference no: EM132956207

Questions Cloud

How much interest expense should mary report : Assume the bonds are isseued at a price of $5,135,430. How much interest expense should Mary report on their annual income statement (12/31/X1)
Prepare journal entries needed to record issuance of bonds : Prepare journal entries needed to record issuance of the bonds, including the entries in the debt service fund and any entries required in the governmental
What is the amount that sarah should accept in scenario : She consider accepting a lump-sum payment now, using a discount rate of 3.30%. What is the amount that she should accept in this scenario?
What level of incremental sales associate for pisa? pizza : Assume customers will spend the same amount on either version. What level of incremental sales is associated with introducing the new? pizza?
Which option is better as contacted bank : You contacted your bank, who advised you that they could provide you a 1% interest rate if you placed the lump sum with them. Which option is better?
Determine the current value of the bond : Twin Oaks Health Center has a bond issue, Determine the current value of the bond if present market conditions justify a 14 percent required rate of return.
Complete the tasks to finish the model : Complete the tasks to finish the model. Whenever possible, reference cells rather than 'hard-coding' values in the cells of your spreadsheet.
Contrast reasons cell division is important for unicellular : Contrast the reasons cell division is important for unicellular (single-celled) and multicellular organisms.
Predict favorable adjustment to retirement : 1. Cite examples of how older adults can compensate for age-related physical declines.

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!

Submit Assignment

Academics

Major Subjects

Majors

Get In Touch

whatsapp: +1-415-670-9521

Phone: +1-415-670-9521

Email: [email protected]

TERMS & POLICIES

HELP & SUPPORT

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd