Calculate the discount factor that will be applied

Assignment Help Finance Basics
Reference no: EM13265540

Orlando Pixie Dust is considering an option to buy some land in Brazil 9 years into the future. The acquisitions department discounts future projects at 2%. Calculate the discount factor that will be applied to the future cash flow.

Reference no: EM13265540

Questions Cloud

Calculate the required return on equity for this firm : Swamp & Sand's current dividend is $1.6 per share. Analysts expect the firm's growth rate of 2% per year to continue indefinitely. The current stock price is 12.5 . Calculate the required return on equity for this firm.
Carlson photography receives royalties based : Carlson Photography receives royalties based on the use of their photographs with a major client. Every year, theclient makes deposits in Carlson's bank account that earns 6 percent compounded annually.
What is the percentage of capital that is equity : Webster Global Services has a Debt-to-Equity Ratio of 1.3. What is the percentage of capital that is equity?
How fast must the deuterium nuclei be going to touch : Fusion reactors attempt to utilize the same nuclear reaction that occurs within the sun. Two deuterium nuclei will combine together to form helium if they are close enough, How fast must the deuterium nuclei be going to touch
Calculate the discount factor that will be applied : Orlando Pixie Dust is considering an option to buy some land in Brazil 9 years into the future. The acquisitions department discounts future projects at 2%. Calculate the discount factor that will be applied to the future cash flow.
What is the gain of an ideal amplifier connected to drive : A power amplifier employs an output stage whose gain varies from 2 to 12 for various reasons. What is the gain of an ideal (non varying) amplifier connected to drive It so that an overall gain with feedback of 100 ± 5% V/V can be achieved
Explain what happen to the density of liquid water : Describe what happen to the density of liquid water when its temperature is increased and/or decreased. properly cite your reference source(s) for this information
Calculate the terminal value using the multiple method : Free cash flow in year 5 is expected to be $145 million. MiCasa, S.A. is expected to be sold at its terminal value. Calculate the terminal value using the multiple method.
Negative message effectively : when you write a negative message what are your objectives? What are some strategies you can use to write the negative message effectively?

Reviews

Write a Review

Finance Basics Questions & Answers

  Compensating balances and loan interest rate

What is the effective interest rate on the typical loan with a nominal 8% interest rate and a 10% compensating balance?

  At what discount rate is the npv just equal to zero

An investment has an installed cost of $567,382. The cash flows over the four-year life of the investment are projected to be $196,584, $240,318, $188,674, and $156,313.

  What will the annual cash flow be

If you put up $35,000 today in exchange for a 6.75 percent, 14-year annuity, what will the annual cash flow be?

  Majority of external financing by corporations

Determine which method of financing has traditionally made up the majority of external financing by corporations?

  Herding/bandwagon effect and overreaction towards new inform

Herding/Bandwagon Effect: This is the tendency for individual traders to mimic the actions (rational or irrational) of the market. Individually, the trader would not necessarily have made the same choice.

  Calculate effective annual interest rate

Trying to find how to calculate the effective annual interest rate on commercial paper when business sold an issue of 30-day paper with fact value of $5,000,000 and the frim received $4,958,000.

  Risk reduction and mergers

Two large, publicly owned firms are contemplating a merger. No operating synergy is expected. But, since returns on the 2 firms aren't perfectly positively correlated

  Evaluation of profit of college

Computation of profit of college at given number of student's strength - If the college can enroll 110 students the first year, how much profit will it make?

  Compute the real rates of return

At the starting of last year, you invested $4,000 in 80 shares of the Chang company. During the year, Change paid dividends of $5 per share.

  Objective questions on equity multiplier ratio

Objective questions on equity multiplier ratio and common size income statement

  Establish the internal controls over financial reporting

The provisions of section 302 of the Sarbanes-Oxley Act (as originally enacted) require the signing officers of a company to do all of the following except.

  Shareholders if xyz company has voted in favor of a buyout

The shareholders if XYZ Company has voted in favor of a buyout offer from ABC Corporation. Information about each firm is given here:

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