Wht is the present value

Assignment Help Risk Management
Reference no: EM131473884

Wht is the present value of a ll college education for 5 children ages 0, 1, 1, 3, and 5 if the cost of education is today's dollars is $17,000 per year, education inflation is 5$, and the parents' expected portfolio rate of return is 8.5%? The children are expected to be in college 4 years and they will each start at age 18.

Reference no: EM131473884

Questions Cloud

Foreseeable future and the current price : If Whitewall is expected to increase its annual dividend by 4.10 percent per year into the foreseeable future and the current price of Whitewall's common.
Define utility and cloud computing services : Define utility and cloud computing services, and indicate where these services might replace or augment the initial system design.
How would you characterize the communication style of each : The company currently employs more than 75 salespeople who call directly on businesses and organizations throughout the United States.
What is capital after-tax wacc : If the returns required by investors are 10 percent, 11 percent, and 15 percent for the debt, preferred stock, and common stock, respectively.
Wht is the present value : Wht is the present value of a ll college education for 5 children ages 0, 1, 1, 3, and 5 if the cost of education is today's dollars is $17,000 per year.
Describe in own words one major conclusion of the article : Describe in your own words one major conclusion of the article. Why is the title of the article inappropriate, and what would have been a better title?
Calculate pre-tax cost of debt capital : Calculate Pre-tax cost of debt capital? What is the current price of the bonds if the coupon rate on those bonds is 7.71 percent?
What is the amount of the depreciation : What is the amount of the depreciation in year 2 for a 3-year asset with an initial cost of $89,000?
Mean for a financial market : What does it mean for a financial market to be considered (a) informationally efficient and (b) economically efficient?

Reviews

Write a Review

Risk Management Questions & Answers

  What types of country risks can you document for mncs

Select a country (e.g., Brazil) of interest to you. Perform a search of popular and academic articles using as keywords. What types of country risks can you document for MNCs doing business in your chosen country?

  Basic functions of leadership in public safety environment

In performing the basic functions of leadership in a public safety environment, define situations when it may be appropriate to apply each of the leadership styles

  Identify the key risks involved in the project

Identify the key risks involved in this project and discuss why they are risks. Pick at least top five risks and provide your rationale for their highest ranking. Using the Risk Description Worksheet generate separate worksheets for the risks.

  Evaluate the key characteristics of common stock and bonds

In a written report, first evaluate the key characteristics of common stock and bonds. Second assess the risks associated with each category of investing.

  Can operational risk influence financial risk and vice versa

How understanding of the various levels of operating risk and financial risk influence credit risk analysis. Can operational risks influence financial risks and vice versa?

  Determine a type of risk inherent to completing a project

If you determine a type of risk inherent to completing a project, how will you respond to the situation? Move out of the project immediately or analyze the risk and begin taking steps to respond to the risk. Discuss

  Identify an example of risk and return

Explain the relationship between risk and return. Identify an example of risk and return. Explain which is more risky, bonds or common stocks. Explain how understanding risk and return will help you in future business ventures.

  What transaction should the firm make on first july

What transaction should the firm make on July 1? On August 30, the bond was selling for 101 12/32 and the futures price was 77 5/32. Determine the outcome of the hedge.

  Discuss any limitations of the given procedure

Determine the appropriate hedge ratio. Then show how a $1 stock price increase would have a neutral effect on the spread value. Discuss any limitations of this procedure.

  Is risk from issuing floating rate eurobond higher or lower

Is the risk from issuing a floating-rate Eurobond higher or lower than the risk of issuing a fixed-rate Eurobond? Explain.

  Risks of data mining within federal departments and agencies

Risks of data mining within federal departments and agencies

  Identify the required pre-workshop activities

Identify the required pre-workshop activities. Prepare a risk workshop agenda based on Figure B-8, Sample Agenda for a First Risk Assessment / Two - Day Risk Workshop.

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