Pay off the loan by making payments

Assignment Help Financial Management
Reference no: EM13722759

You burrow $80,000 for 10 years at 4% how much money will you save, over the life of the loan, if you pay off the loan by making payments every two weeks instead of at the end of the month?

Reference no: EM13722759

Questions Cloud

What is the company''s eva and what does the eva represent : Smith's Shoe Shop had $4,000,000 in operating income last year, after-tax cost of capital of 7%, and a tax rate of 35%. The company has $14,000,000 in stockholder's equity, $17,000,000 in long-term bonds, and $1,500,000 in preferred stock.
What is the net income for firm : Lifeline, Inc., has sales of $590,000, costs of $268,000, depreciation expense of $68,500, interest expense of $35,500, and a tax rate of 40 percent. Required: What is the net income for this firm?
Interest rates between corporate and treasury bonds : Assume that k* = 1.5; the maturity risk premium is found as MRP=0.09(t-1) where t= years to maturity; the default risk premium for Corporate bonds is found as DRP= 0.11% (t-1); the liquidity premium is 0.8; and inflation is expected to be 2% in years..
Estimate the current value of stock using same assumptions : Marge Inovera is trying to value the stock of Hot Tub Time Machines, Limited (HTTM). To easily see how a change in one or more of her assumptions affects the estimated value of the stock, she is using a spreadsheet model. The model has projections fo..
Pay off the loan by making payments : You burrow $80,000 for 10 years at 4% how much money will you save, over the life of the loan, if you pay off the loan by making payments every two weeks instead of at the end of the month?
Estimate the current value of the stock : Bruce Jenner is the portfolio manager of a Los Angeles-based equity fund. He is analyzing the value of TJX, Inc. (NASDAQ Stock Exchange: TJX). TJX is a leading retailer of women’s clothing in the US. Jenner has concluded that the DDM is appropriate t..
Interest is compounded continuously : When interest is compounded continuously, the amount of money increases at a rate proportional to the amount S present at time t, that is, dS/dt = rS, where r is the annual rate of interest.
What is the stocks current rate of value per share : GROWTH VALUATION Thomas Brothers is expected to pay a $0.50 per share dividend at the end of the year. The dividend is expected to grow at a constant rate of 7% a year. The required rate of return on the stock, rs, is 15%. What is the stock’s current..
What was the funds return and what was investors return : The Global Growth Fund is a load fund with a 6 percent front load fee. It started the year with a Net Asset Value (NAV) of $16.50. During the year the fund distributed $1.05, and at the end of the year its NAV was $17.95. What was the fund's return, ..

Reviews

Write a Review

Financial Management Questions & Answers

  1 if a firm raises capital by selling new bonds it would be

1. if a firm raises capital by selling new bonds it would be called the issuing firm and the coupon rate is usually set

  What are bond ratings and how do they impact bond valuation

What are bond ratings and How do they impact bond valuation - who are the bond ratings agencies and what do the ratings mean? When ratings fall what happens to the valuation of a bond and why?

  Airbus sold an a400 aircraft to delta airlines a us company

airbus sold an a400 aircraft to delta airlines a u.s. company and billed 30 million payable in six months. airbus is

  Prepare a supplementary schedule of cash flows

What effect will reclassifying the investments have on the current ratio? Is Ross's true finan¬cial position stronger as a result of reclassifying the investments and evaluate Inspireds cash flows for the year.

  Determine the prospective price-earnings ratio

Provide an estimate of the value of the company, indicating the proportion of the value accounted for by the company's growth prospects and determine the prospective price-earnings ratio of the company and comment on its anticipated change in value..

  Explain what is the percentage change in productivity

using sales dollars as the measure of output, what is the percentage change in productivity (dollars output per labor hour) from april to may

  Consider the revenue variance

Interpret your results. In particular, focus on the differences between the variance analysis here and the Carroll Clinic illustration presented in the chapter.

  Determine the yield to maturity using the valuation formula

Disney enterprises issued 7.55% senior debentures (bonds) on July 15, 1993, with a 100-year maturity (ie due on July 15, 2093). Suppose an investor purchased one of these bonds on July 15, 2003 for $1,050.

  1calculate the after-tax cost of debt under each of the

1.calculate the after-tax cost of debt under each of the following conditionsa.interest rate 8 percent tax rate 0

  How does corporate strategy differ from business

please answer the following questions. please refer to some of the following individual companies for examples ge

  Determine which form of contracting benefit your business

Image your small business that produces very small remote control aircraft capable of long sustained flights. You are ready to expand your business by competing for Department of Defense (DoD) contracts.

  Because of the increased scrutiny on actions of

introductionbecause of the increased scrutiny on the actions of corporations and those who act on behalf of

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