Advertised rate and the annualized rate

Assignment Help Finance Basics
Reference no: EM13819887

Advanced Time Value of Money

An advertised monthly lending rate of 0.9% is about 11% per year. This difference between an advertised rate and the annualized rate is based on finer TVM details that may be overlooked by borrowers. Discuss how you may have used TVM in a recent investment or loan decision and explain some of the TVM details that may have been involved in your transaction.

If you have not used TVM in the past financial transactions what practical TVM application would you expect to encounter in your future. (I have never used TVM please focus discuss answer on this)

Reference no: EM13819887

Questions Cloud

Satisfy these requirements for continuity of business : Business disruption has become a serious concern of the company president who wants to see a detailed plan before the work begins. She explains that current work must be completed in the old hangar and all new work is to being in the new hangar. As t..
Expected rates of reimbursement : Suppose you want to make $150,000 profit between this period and next period to fund an expansion to the NICU, how many cases would you have to see? At what payer mix would this be optimal?
What does environmental sustainability mean to you : What does environmental sustainability mean to you
Analyze extant threats to international security environment : In the process of doing so, analyze the extant and predicted threats to the international and national security environments.
Advertised rate and the annualized rate : An advertised monthly lending rate of 0.9% is about 11% per year. This difference between an advertised rate and the annualized rate is based on finer TVM details that may be overlooked by borrowers. Discuss how you may have used TVM in a recent i..
The health of populations in developing counties : Describe your understanding of the north / south divide as it relates to the health of populations in developing counties. Determine specific steps - aside from building more clinics - that the leadership in developing countries can take to improve t..
What is network optimization : What is network optimization
Reduce pressures on managers and decrease ethical conflicts : American Products Corporation participates in a highly competitive industry. In order to meet this competition and achieve profit goals, the company has chosen the decentralized form of organization. Identify the ethical implications, conflicts, or d..
Examine the relevant consumer behavior : Examine the relevant consumer behavior for your target market. Explain the main reasons why the brand name, logo, slogan, brand extension, as well as the positioning statement and marketing strategy are right for the identified target market.

Reviews

Write a Review

Finance Basics Questions & Answers

  Use the profitability index (pi) decision rule to evaluate

Use the Profitability Index (PI) decision rule to evaluate

  What is the equity multiplier

Equity Multiplier and Return on Equity Nuber Company has a debt equity ratio of .80. Return on assets is 9.7 percent, and total equity is $735,000. What is the equity multiplier? Return on equity? Net income?

  Suppose a us treasury bond will pay 2500 five years from

suppose a u.s. treasury bond will pay 2500 five years from now. if the going interest rate on 5-year bond is 4.25. how

  What is the value per share of the companys stock

Ragan, Inc, was founded nine years ago by brother and sister Carrington and Genevieve Ragan. The company manufactures and installs commercial heating, ventilation, and cooling (HVAC) units. Ragan, Inc., has experienced rapid growth because of a propr..

  What profit or loss would security brokers incur

The out-of-pocket expenses incurred by Security Brokers in the design and distribution of the the issue were $300,000. What profit or loss would security brokers incur if the were sold to the public at the foloowing average price?

  Calculation of the risk-free rate

Calculation of the risk-free rate or the rate of return on a risk-free portfolio and suppose that securities A and B are perfectly negatively correlated

  Capital structure analysis-liabilities and owner equity

Find out percentage of the firm's asset does the firm finance using debt (liabilities)? The fraction of the firm's assets that the firm finances using debt is

  What is the net present value npv of a long-term investment

beyond personal resources what are other funding options for small businesses? why dont more entrepreneurs

  Verify that put-call parity holds

Consider an option on a non-dividend-paying stock when the stock price is $30, the exercise price is $29, the risk-free interest rate is 5% per annum, the volatility is 25% per annum, and the time to maturity is four months.

  A common stock has a current dividend of 300 an annual

a common stock has a current dividend of 3.00 an annual growth rate of 4 percent and an required rate of return of 15

  Abraham unseals his estimate of the value of the collection

the center city anuraphilic frog lovers society has fallen on hard times. abraham bobby and charlene are the only

  Sampling distribution and confidence intervals

You just saw an ad on television that states the majority of the population would vote to make smoking illegal. The poll that is referenced shows 53% of those asked supported making smoking illegal.

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