Who would be the total payoff from the cd

Assignment Help Business Economics
Reference no: EM132281484

An S&P 500 index linked CD matures in 3 years, with the face value the same as the current S&P 500 index price, $ 1350. Upon its maturity, the investor will be paid back the face value, plus 80% of the gain on the S&P 500 index. When the CD matures in 3 years and the S&P index goes down to $1300, who would be the total payoff from the CD?

Reference no: EM132281484

Questions Cloud

Is there structural balance between revenues and expenditure : Draw conclusions about the overall fiscal health and future outlook for this government, based on your analysis. Do they appear to be in good shape?
What is the project payback period : The project has a cost of $20,000 and the cost of capital is 10%. The project's expected net cash flows are as follows:
Write a summary of how the court systems are structured : Write a short summary of how the court systems are structured, the hierarchy, and functions of each division.
Reduce the amount he owes in the first year : Bob the Builder borrowed $20,000 at a rate of 10% and must repay it in 5 equal installments at the end of each of the next 5 years.
Who would be the total payoff from the cd : When the CD matures in 3 years and the S&P index goes down to $1300, who would be the total payoff from the CD?
Explain the meaning of david eastons political system : Explain the meaning of David Easton's political system and its use as a standard to evaluate Israeli government and politics.
Calculate the portfolio beta : Calculate the portfolio beta. (Do not round intermediate calculations. Round your answer to 2 decimal places, e.g., 32.16.)
Calculate the net income for tulsa corporation : Question: Use the following information to calculate the net income for Tulsa Corporation.
Calculate the depreciation expense to record : 1. Calculate the depreciation expense to record on the books for Year 2. 2. Calculate the net book value of the equipment reported on the balance sheet

Reviews

Write a Review

Business Economics Questions & Answers

  Does this technology possess economies of scale

Suppose 4 neighboring farmers want irrigation and flood control systems. Each farmer can install one system for $15,000, and is willing to do so. If 2 farmers go together they can build a joint system for $25,000, and 3 can build one system for a tot..

  Breakeven percent reduction in labor hours for new system

A large city in the mid-West needs to acquire a street-cleaning machine to keep its roads looking nice year round. A used cleaning vehicle will cost $85,000 and have a $20,000 market (salvage) value at the end of its five-year life.

  Which firms in the mutual fund industry

What additional benefits are possible for people in the private system and why? Which firms in the mutual fund industry might not be approved by the federal government and why?

  Strategic choices faced by modern transnational firms

It may seem as though basic static games are too simple to describe the strategic choices faced by modern transnational firms. Yet simple normal-form games apply to the case studies presented in both of the textbooks. Present your observation of what..

  What could be the consequences

Discuss what could happen if we removed all barriers to immigration into the United Sates. What could be the consequences?

  High-quality production processes

Toyota has a long history of engineering-driven, high-quality production processes. However, more recently a series of problems with acceleration

  Make a variable gender from variable sex

What is the data step to make a variable gender from variable sex. (Note that you are not allowed to use IF statement for this question. ) The values of gender

  Free market argument that leads to privatisation

The typical right wing/free market argument that leads to privatisation of government assets is that the government assets will be far more efficiently managed when in the hands of profit seeking capitalists, rather than being owned by the government..

  Current market interest rate

The current market interest rate is a nominal semiannual rate of 16% compounded quarterly.

  What is lynn expected utility

Considering the probability that there is a fire, what is Lynn's Expected Wealth, E(W)?

  Marginal methodology to explain depression-market failure

How did Keynes use marginal methodology to explain depression and market failure? Discuss how Keynes used neoclassical theories on market clearing to explain depression. In what aspects that Veblen provided an alternative theory to economics?

  Calculate anthony his explicit cost

Calculate Anthony his explicit cost for operating his consulting firm for a year?

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