Which option is the most rational

Assignment Help Basic Statistics
Reference no: EM132057782

A friend owes you 10000$. He offers you 3 choices for paying you back, 10000$ today or 12800$ in exactly 2 years or 14800$ in exactly 4 years. If the interest rate is 12% compound semi-annually, which option is the most rational?

Reference no: EM132057782

Questions Cloud

Discuss the issue of executive pay and explanations : Discuss the issue of executive pay and explanations of why executive pay may be justified.
What is tom self-employment income : Tom is a 20% owner of the S corporation and he performs services for the business as an employee. What is Tom's self-employment income?
Stakeholders in the health care payer system : Are stockholders and bondholders considered stakeholders in the health care payer system?
Who are the stakeholders in a water company firm : Who are the stakeholders in a water company firm? What are their roles? And who benifits the most to the company?
Which option is the most rational : He offers you 3 choices for paying you back, 10000$ today or 12800$ in exactly 2 years or 14800$ in exactly 4 years.
Appropriate estimate for the cost of capital for new : All firms' tax rate is 36%. What would be an appropriate estimate for the cost of capital for this new venture?
How the sections come together to produce comprehensive plan : This assignment entails development of a comprehensive strategic marketing plan for a new product or service that is ready to "go to market".
Which bank would be most rational to borrow from : Bank C demands 8% compounded quarterly. Bank D demands 8% compounded monthly. Which bank would be most rational to borrow from?
What is the expected var exposure on december : What is the expected VAR exposure on December 31, 2017?

Reviews

Write a Review

Basic Statistics Questions & Answers

  Find the expected gain for the insurance company

If the probability that she dies in the coming year is 0.001, what is the expected gain for the insurance company?

  Determine the monthly payment

Investigate the cost of a home mortgage and to determine the monthly payment.

  Find the probability that a randomly selected timing

Find the probability that a randomly selected timing belt lasts for more than 120,000 miles. c. Find the probability that a randomly selected timing belt lasts

  Based on historical data your manager believes that 30 of

1 based on historical data your manager believes that 33 of the companys orders come from first-time customers. a

  Debate over the issue of slavery

Given the discussion about compromises and debate over the issue of slavery from the time of the Constitution in 1788 to the Civil War in 1860-61

  What considerations must a researcher keep in mind

What considerations must a researcher keep in mind when writing the questions to be used on a questionnaire or in an interview?

  Determine the critical values or cutoffs

Determine the critical values, or cutoffs, assuming a two-tailed test with a p level of 0.05, for each of the designs described in given Exercise.

  Conduct a regression analysis

Using Excel, conduct a regression analysis for the following data comparing vehicle weight with fuel efficiency, including:a.?Trendline chart b.?Equation c.?Correlation Coefficient

  What is the expected number of heads in a 9 coin toss

a) What is the expected number of heads in a 9 coin toss? b) What is the expected number of dots showing in a toss of two dice?

  Which implies a stronger linear relationship

Which implies a stronger linear relationship: a correlation of +0.4 or a correlation of -0.6? Briefly explain.

  Testing a new drug researchers

In testing a new drug, researchers found that 20% of all patients using it will have a mild side effect. A random sample of 15 patients using the drug is selected. Find the probability that:

  Understanding of the psychology of attitudes

Researchers concluded that "some people tend to like things, whereas others tend to dislike things, and a more thorough understanding

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