What is maximum you should be willing to pay for investment

Assignment Help Financial Management

Reference no: EM132003580

1. You are thinking of investing in a project that will pay you $100,000 6 years from now, and another $100,000 11 years from now. You think the right discount rate for the project is 9.2%. What is the maximum you should be willing to pay for this investment?

2. An investment is expected to produce $2,869 at the end of each year for the next 6 years. Other investments of similar riskiness available to you are yielding 11.2 percent return. What is the maximum you should be willing to pay for this investment?

Reference no: EM132003580

Questions Cloud

About spending your entire life working : You are not thrilled about spending your entire life working. how many years will pass before you get to retire?

Corrective action to combat vulnerability : Which of the following is considered to be a corrective action to combat this vulnerability? Answer choices are below.

Describe the capital budgeting techniques : Using your knowledge of capital budgeting techniques, explain how principles of capital budgeting, such as the payback method, IRR, and NPV.

Best method of configuring the load balancer : Given this scenario, which of the following would be the BEST method of configuring the load balancer? Answer Choices below

What is maximum you should be willing to pay for investment : You think the right discount rate for the project is 9.2%. What is the maximum you should be willing to pay for this investment?

What was the first pc -based operating system called : What was the first PC -based operating system called? UNIX, Linux, Microsoft Disk Operating System (M-dos), or Control Program for Microcomputers (C/PM)

Identify the ethical standards for your field of study : Each field of work has one or more professional organizations that issue standards for that field. For Psychology it is APA; for educational leadership.

Building presentations in microsoft powerpoint : What is the most important do's and don'ts when building presentations in Microsoft PowerPoint?

Create three strategic goals for your chosen company : The internal portion of the SWOT could include quality of human capital, product lines, employee relations, and current internal business processes.

User Account

All Pages