How much must entertainer aid deposit each year

Assignment Help Finance Basics
Reference no: EM13269614

Entertainer's Aid plans five annual colossal concerts, each in a different nation's capital. The concerts will raise funds for an endowment which would provide the World Wide Hunger Fund with $3,000,000 per year into perpetuity. The endowment will be given at the end of the fifth year. The rate of interest is expected to be 9 percent in all future periods. How much must Entertainer's Aid deposit each year to accumulate to the required amount?

Reference no: EM13269614

Questions Cloud

State a reaction energy diagram : (a) Write the reaction equation, (b) indicate which product is predominant at low temperature, (c) which product is predominant at high temperature, and (d) draw a reaction energy diagram explaining your answers in b and c.
What is the expected change in net income : The interest rate on the notes payable is 10%, and the tax rate is 40%. If the firm implements the plan, what is the expected change in net income?
What is the variance of these returns : You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 2 percent, -12 percent, 27 percent, 22 percent, and 18 percent. What is the variance of these returns?
What is the variance of these returns : You've observed the following returns on Crash-n-Burn Computer's stock over the past five years: 2 percent, -12 percent, 27 percent, 22 percent, and 18 percent. What is the variance of these returns?
How much must entertainer aid deposit each year : How much must Entertainer's Aid deposit each year to accumulate to the required amount?
Calculate the length of the blades of a 1 mw wind turbine : (a) Calculate the length of the blades of a 1 MW wind turbine. Assume the air density is 1.0 kg/m^3, average wind speed is 15 m/sec, and overall efficiency is 25%. (b) An ideal solar cell is operating at30°C. The reverse saturation curren is0.15 mi..
How to write a reaction equation : (1) Explain different pKa value of the following two compounds. When compound A is treated with a strong base, followed by CH3Br, a pair of structural isomers is produced. (2) Write a reaction equation. (3) Use molecular orbital theory to explain ..
What is the energy per bit for bpsk pulse : Consider a BPSK signal where each bit is represented by a triangular pulse with width T and height A. What is the "energy per bit" for this BPSK pulse with A=1V and T=0.002s
What is the total asset turnover : Silas 4-Wheeler, Inc. has an ROE of 18 percent, equity multiplier of 2, and a profit margin of 18.75 percent.

Reviews

Write a Review

Finance Basics Questions & Answers

  Capital valuation-walmart

Justify the current market price of the organization's (Walmart) debt, if any, and equity using various capital valuation models.

  Explain evaluation of investment proposal by profitability

Explain Evaluation of Investment proposal through Profitability Index and Rank the proposals in terms of preference using the project profitability index

  Create a cash flow statement with operating activities

Suppose you are CFO for your company and you have been given the task of financial planning for a new product to increase corporate earnings each share.

  Calculation of beta and weighted average cost of capital

Calculation of beta and weighted average cost of capital and How asset betas should be used? What is the corresponding Cost of Capital

  Calculation of expected return on investment

Calculation of expected return on investment and what is your expected starting salary as well as the standard deviation of that starting salary

  Calculating contribution per hour

Joe runs a little parts shop. His hourly labor price to customers is $40 every hour and his hourly material value works out to about 25 percent of the hourly labor price.

  Explain purpose of a credit rating on a corporate debt issue

Explain the purpose of a credit rating on a corporate debt issue. In your answer, discuss the importance of a credit rating on an international capital markets debt issue from the perspective of both a borrower and an investor.

  What is crytons cost of capital

Dividends have grown at the rate at 5.4% per year and are expected to continue to do so for the forseeable future. What is Cryton's cost of capital where the firm's tax rate is 30%?

  Which of the following projects should the firm accept

All of Division A's projects are equally risky, as are all of Division B's projects. However, the projects of Division A are less risky than those of Division B. Which of the following projects should the firm accept?

  Compute the firms cost of equity

The earnings, dividends, and stock value of Cattle Technologies Corporation are expected to grow at 8 percent per year in the future. Cattle's common stock sells for $30 each share,

  What is the net present value for this project

The tax rate is 33 percent and the required return for the project is 15 percent. What is the net present value for this project?

  Determine the highest price for stock

The last dividend on Spirex Company's common stock was $4, and the expected growth rate is 10%. If you require a rate of return of 20%, Determine the highest price for this stock?

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