Find the size of payments

Assignment Help Financial Management
Reference no: EM131623973

A woman wins $200,000 in a lottery. She takes only $20,000 in cash and invests the balance at a rate of interest of 10% with the understanding that she will receive 180 equal monthly payments, with the first one to be made in 4 years. Find the size of the payments.

Reference no: EM131623973

Questions Cloud

Analyze hr metrics to support the justification : Analyze HR metrics to support the justification of the cost of an HRIS
Bankruptcy are negligible with this amount of ongoing debt : Realizing that the chances of bankruptcy are negligible with this amount of ongoing debt on your balance sheet,
Contrast two types of investors in view of preferences : Describe how, if at all, conservative and aggressive investors might use each of the following types of transactions as part of their investment programs.
Provides a detailed description about the case manager role : Provides a detailed description about the case manager role. Presents the roles and responsibilities of a case manager in your area.
Find the size of payments : A woman wins $200,000 in a lottery. Find the size of the payments.
Prepare the cash flows from operating activities : Calculate each of the following amounts for Mike Roe Computers: Cash received from customers during the reporting period
How many dollars would you get for given euros : The current exchange rate between the euro and the U.S. dollar is 0.925884. This means that one dollar can buy 0.925884 euros.
Explain salivating wanna take you to the stomach : Explain Salivating wanna take you to the stomach, round the campground and hoofed down the path
Issues of developmental stage : Read the American Psychological Association's Ethical Principles of Psychologists and Code of Conduct and Fact Sheet on End-of-Life Care

Reviews

Write a Review

Financial Management Questions & Answers

  What is the amount of the collection float as of the end

As of this morning, your firm had a ledger balance of $775 with no outstanding deposits or checks. Today, your firm deposited six checks in the amount of $79 each and wrote a check in the amount of $330. What is the amount of the collection float as ..

  Their share are in proportion to their investments

John starts a business with $168000 as capital.Six months later, Andrew joins john with a capital of $144000. One month after that, Edward joins them with a capital of $324000. At the end of first year, the profit is $40000. How much do john, Andrew ..

  Firm is equivalent to owning a call option on firms assets

Explain the rationale behind the idea that equity is a call option on a firm's assets. In other words, explain why equity ownership of a firm is equivalent to owning a call option on the firm’s assets. Next, explain what it would mean for shareholder..

  How much should the investor pay for the bond

How much should the investor pay for the bond?

  The securities and exchange commission

SEC is The Securities and Exchange Commission. What filings does the company make annually and quarterly to the SEC? Why are these important? Did Chevron make any Section 16 filings to the SEC? What is this filing used for? What are the 8-k filings t..

  The returns on all assets are equal to the risk-free rate

Assume we live in a risk-neutral world where the returns on all assets are equal to the risk-free rate.

  The efficient market hypothesis supports

The efficient market hypothesis supports which one of these statements?

  Invested at a continuously compounded interest rate

How much will $100 grow to if invested at a continuously compounded interest rate of 8.25% for 7 years? What if it is invested for 8.25 years at 7%?

  What is the net present value of this to your business

what is the net present value of this to your business and should you go ahead with it?

  Gross development profit margin for going in cap rate

SHOW WORK What is the gross development profit margin (rounded to the nearest percent) for a going in cap rate of 10 and a selling cap rate of 7

  Calculate market capitalization and market-to-book ratio

Amazon currently has the following financial information: a share price of $766, 474 million shares outstanding, book value of equity of $13.384B, Net income of $596M At the end of the previous fiscal year, Amazon had book value of equity of $10.74B ..

  Expected rate of return on market portfolio

If the expected rate of return on the market portfolio is 16% and T-bills yield 4%, what must be the beta of a stock that investors expect to return 13%?

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