An investment offers 8800 per year for 14 years with the

Assignment Help Financial Accounting
Reference no: EM13376572

An investment offers $8,800 per year for 14 years, with the first payment occurring 1 year from now. Assume the required return is 12 percent.

Requirement 1:

What is the value of the investment today? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places

Requirement 2:

What would the value be if the payments occurred for 39 years? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places

Requirement 3:

What would the value be if the payments occurred for 74 years? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places

Requirement 4:

What would the value be if the payments occurred forever? (Enter rounded answer as directed, but do not use rounded numbers in intermediate calculations. Round your answer to 2 decimal places

Reference no: EM13376572

Questions Cloud

A dubois inc has 600000 to invest the company is trying to : a dubois inc. has 600000 to invest. the company is trying to decide between two alternative uses of the funds. one
Amelie is an employee who uses her personal automobile in : amelie is an employee who uses her personal automobile in connection with her job. during 2013 amelie drove her car a
Designer fads company a local retail clothing store was : designer fads company a local retail clothing store was established april 1 2014. the company issued 8500 shares of 10
You are saving to buy a 191000 house there are two : you are saving to buy a 191000 house. there are two competing banks in your area both offering certificates of deposit
An investment offers 8800 per year for 14 years with the : an investment offers 8800 per year for 14 years with the first payment occurring 1 year from now. assume the required
Adria lopez created success systems on october 1 2013 the : adria lopez created success systems on october 1 2013. the company has been successful and its list of customers has
Writer a program that allows the user to enter an unknown : writer a program that allows the user to enter an unknown number of characters stores those characters in a data
Question 1 discuss the factors that you think would limit : question 1. discuss the factors that you think would limit how many processes a computer can effectively
Find the solution to each of these recurrence relations : find the solution to each of these recurrence relations with the given intial conditions. use an iterative approach.c

Reviews

Write a Review

Financial Accounting Questions & Answers

  What is the partnerships basis in the assets contributed

How much is recognized profit? How much is each partner's basis in the partnership? What is the partnership's basis in the assets contributed?

  On 31st december 2010 the american bank enters into a debt

on 31st december 2010 the american bank enters into a debt restructuring agreement with barkley company which is now

  Determining number of servers required

An administrator of a popular website is told that a new faster server, which will replace the old server, can handle 45,000 hits (users accessing the site) per second.

  Accounts basics - multiple choice questions1nbspcosts

accounts basics - multiple choice questions1.nbspcosts become expenses a.nbspwhen they are paid. b.nbspwhen they are

  Illustrate what are associated with using average cost

Illustrate what problems are associated with using the average cost per unit as a performance measure? What problems are associated with using the variable cost per unit as a performance measure?

  What type of report you should issue and why

Explain how you should handle this situation- explain what type of report you should issue and why

  Question1 the brandon company a manufacturer as well as the

question1 the brandon company a manufacturer as well as the schimmel company a retailer entered into a business

  How much of loss can he deduct against ordinary income

Harvey rents his second home. During 2009, Harvey reported a net loss of $35,000 from the rental. If Harvey is an active participant in the rental and his AGI is $80,000, how much of the loss can he deduct against ordinary income in 2009?

  Calculate the opportunity cost

Calculate the opportunity cost of waiting to pay for the motorcycles in November.Describe all transactions clearly and compute the gain or loss in the futures hedge after describing in detail all transactions.

  Evaluate the cost and market value

Since you still own General Motors and General Electric, could these be reclassified to long-term securities?

  State whether the quick ratio is increased decreased

For each transaction and related adjusting entry, state whether the quick ratio is increased,decreased, or there is no change.

  Define detoxified and capable of generating revenues

Bruce Company owns a plot of land on which buried toxic wastes have been discovered. Since it will require several years and a considerable sum of money before the property is fully detoxified and capable of generating revenues,

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