User Account

All Pages

Calculate the present value (pv) of this perpetuity for two

Assignment Help Accounting Basics
Reference no: EM13986483

Suppose you were to receive a perpetual annual payment (perpetuity) of $640 per year. in the following table calculate the present value (PV) of this perpetuity for two different annual rates of discount (i)

Rate of Discount

Present Value (PV)

4%

 ________________

10%

________________

Based on your calculations, the present value of a given income stream is _________ at the higher interest rate.

Reference no: EM13986483

Questions Cloud

Prepare the intangible assets section of the balance sheet : Patrick Corporation's adjusted trial balance contained the following asset accounts at December 31, 2014: Prepare the intangible assets section of the balance sheet.
Find angle through which it rotated during the acceleration : A disk rotating at 8 rad/s is accelerated at the rate of 1.8 rad/s2 for 7 s. What is its new angular speed? Find the angle through which it rotated during the acceleration.
Explain how to perform task clearly effectively and quickly : Find a mechanism or product around your home and write instructions on how-to install or operate that item. I would like to see at least one graphic in your document. Explain how to perform a task clearly, effectively, and quickly. Adapt to the rea..
The proposed truck has an estimated economic life : The proposed truck has an estimated economic life of seven years but will be treated as a five-year MACRS property for depreciation purposes.
Calculate the present value (pv) of this perpetuity for two : Suppose you were to receive a perpetual annual payment (perpetuity) of $640 per year. in the following table calculate the present value (PV) of this perpetuity for two different annual rates of discount (i). Based on your calculations, the present v..
What is the potential difference across the capacitor : A 1.0-μF capacitor and a 2.0-μF capacitor are connected together, and then that combination is connected across a 3.0-V potential source (a battery). What is the potential difference across the 2.0μF capacitor if the capacitors are connected (a) i..
Discussion moderating activity : Students will write one approved short paper to post by 9:00 a.m. Eastern Coast Time on Monday of their assigned session in our online class conference area.  During the week in which a student posts his/her paper, he/she will serve as moderator for ..
Determine the time block will take to travel up the slope : A block is given an initial speed of 4m/s up a 45 degree smooth incline. Determine the time it will take to travel up the slope before it stops.
Carpet cleaning van for sale : Here's your chance!  Carpet Cleaning Van for sale.   Provide REALISTIC assumptions in an NPV analysis as to whether this could be a positive NPV opportunity.  Be certain to include all relevant positive and negative cash flows in your analysis.  Woul..

Reviews

Write a Review

 

Accounting Basics Questions & Answers

  Compute the labor rate variance input the amount as a

diamond company produces a single product. the company has set the following standards for materials and laborstandard

  Implied annual interest rate-inherent in credit terms

Farewell company purchased merchandise with an invoice price of $2000 and credit terms of 2/10, n/30. Assuming a 360 day year, what is the implied annual interest rate inherent in the credit terms?

  Inventory at march 31 was budgeted at 2000 units sales for

portman inc. produces and sells a specialty product. the production department prepared the following second quarter

  Lichty car wash has some equipment that needs to be rebuilt

lichty car wash has some equipment that needs to be rebuilt or replaced. the following information has been gathered

  Complete the requirement assuming periodic inventory system

Spindle Company uses a Sales Journal, a Purchases Journal, a Cash Receipts journal, a cash Disbursements Journal, General Journal. The Following transactions occurred during the month of February 2014. Complete the requirement assuming a periodic Inv..

  One chain of coffee shops

In a major metropolitan area, one chain of coffee shops has gained a large market share because customers feel its coffee tastes better than that of its competitors.

  Stowers research issues bonds dated january 1 2011 that pay

stowers research issues bonds dated january 1 2011 that pay interest semiannually on june 30 and december 31. the bonds

  Sauders uses the step-down method of cost allocation and

sauders company has two service departments cafeteria and human resources and two production departments machining and

  Gems system in the maple ridge engineering case

(Worth 20% of the homework grade) Draw the level 1 data flow diagram (DFD) for GEMS process 2, Update Resources, which is the process that will create and update resource information for projects being tracked in GEMS.

  Discuss how the current u.s. economy has affected

discuss how the current U.S. economy has affected the write-off of and the impact on factoring accounts receivable. Cite the Websites used to support your answer.

  If an iron industry has earned contribution of 200000 and

if an iron industry has earned contribution of 200000 and net profit of 150000 on sales of 800000. what would be

  Data concerning the recent periods activity in the prep

data concerning the recent periods activity in the prep department the first processing department in a company that

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