$4,250 was deposited at the end of every six months for 5 years into a fund earning 2.2% compounded semi-annually. After this period, the accumulated money was left in the account for another 4 years at the same interest rate. a) Calculate the accumulated amount at the end of the 9-year term. $ b) Calculate the total amount of interest earned during the 9-year period. $
Q: Nadhirah needs to pay RM168.28 every month for a loan of RM7,000 from XYZ Bank at 7.2% compounded…
A: Given, The monthly payment is RM 168.28 Loan amount is RM 7000 Rate is 7.2% compounded monthly
Q: All rates in this question use semi-annual compounding. You observe a two year spot rate of 5.10%,…
A: Given: 2 year spot rate r2= 5.10% 1 year forward rate 2 years from now "f3" = 4.80% 3 year spot rate…
Q: Assume that you are a consultant to Broske Inc., and you have been provided with the following data:…
A: Next dividend (D1) = $0.80 Current price (P0) = $32.50 Growth rate (G) = 8.00% Formula Cost of…
Q: Todat, you sold 540 shares of stock and realized a total return of 7.3 percent. You purchased the…
A: Given, Number of shares sold is 540 Total return is 7.3% Price one year ago $24 Total dividends $86
Q: Advice the Directors of Access Business Enterprise Limited how the capital market can help the firm…
A: The business needs capital to fund the operation, The business can raise funds in various ways like…
Q: You're evaluating various investment opportunities and you have the following information about five…
A: The Sharpe ratio is used to measure the return of a portfolio that has been adjusted for risk. An…
Q: Describe how the Admati and Pfleiderer (1988) model differs from the Kyle (1985) model of equity…
A: An equity market is referred as the place, where the shares as well as stocks of the corporation is…
Q: a) Evaluate the following statement: "Two stocks should be viewed as equally risky because they have…
A: As per our guidelines we are supposed to answer only one question (if there are multiple questions…
Q: If you borrow $7,500 at $550 interest for one year, what is your effective interest rate for the…
A: The effective rate of interest refers to the return on savings or interest on the investment…
Q: Assuming an interest rate of 5%, which three cash flows have the best Net Present Value? (Remember…
A: Equivalent Uniform Annual Worth (EUAW) is a measureto understand which project is better if they…
Q: b-1. After considering the hedging, what is the net cost to the firm of the increased interest…
A: a. Profit on future contract = Value per contract * % it goes down * number of contracts
Q: Problem 2. On January 1, 1995, an investor opened a savings account at Bank A with a deposit of…
A: The simple interest is the interest earned on the same amount for each successive period. Compound…
Q: Please help on part 4 while showing work
A: As per Bartleby honor code, when a particular part is asked, the expert is required only to solve…
Q: Fool Proof Software is considering a new project whose data are shown below. The equipment that…
A: Given: Cost of equipment = $42,188 Tax rate = 25%
Q: José lent Antonio 10 new pens and 20 new watches on date zero, which on that date cost $50.00 and…
A: The real interest rate is the rate that is charged by the banks on borrowings. This rate is used by…
Q: Market risk cannot be eliminated. OA. True OB. False
A: The financial market can be defined as the market place which includes the trading of securities and…
Q: heavy equipment for a certain project and the details are as follows: ITEM: MACHINE A: MACHINE B:…
A: Annual Costs= Annual operating cost +Annual labor cost +0.10(Annual labor cost) + 0.04(First cost)
Q: Optimist Company can sell common shares at $30 per share and can obtain debt funding at 8 percent.…
A: There will be a tax saving on interest paid on debt fund therefore the cost of debt will be reduced…
Q: What is the salvage cash flow for a piece of equipment given the following information. The…
A: initial book value of equipment = $226,000 Life = 8 years Depreciation charged for 4 years Sale…
Q: Martin had a successful small business before a recession hit his community. Martin believes the…
A: As per our guidelines we are supposed to answer only one question (if there are multiple questions…
Q: A new diamond deposit has been found in northern Alberta. Your researchers have determined that it…
A: Initial cost (at year 0) = $4,500,000 Annual income (Year 2 - 4) = $3,000,000 Cost of capital = 21%…
Q: Suppose you sell a fixed asset for $99,000 when its book value is $75,000. If your company's…
A: The fixed assets are reflective of all such assets which are helpful for company in the deriving the…
Q: . Find the component costs of debt, preferred stock, and common stock. b. What is the WACC?
A: WACC: It refers to the rate used to discount the projects or investments' cash flows in capital…
Q: discuss and describe in detail Small and Medium Enterprises?
A:
Q: compute the discounted payback statistic for Project X and recommend whether the firm should accept…
A: Discounted payback period shows that how long it will take to recoup an investment using present…
Q: Assume you purchase a put option contract (100 shares) for a price of 6.40 (each stock) for…
A: Assuming the given option is American put option which can be exercised at any time before the…
Q: What are the three 'C's' of mortgage underwriting? What is one way in which each of the 'C's' is…
A: When you buy house than you need loan for home but there is need of down payment also and remaining…
Q: ohn has just borrowed an amount of K5,000 to pay his school fees. The loan is to be repaid in equal…
A: Loans are paid by the annual payment that carry the payment of loan and payment of interest also but…
Q: dividends speak louder than words when it comes to conveying information about management’s…
A: In the stock markets sending signals to the market is very important if you send proper signal than…
Q: Risk and return are related in that investor expectations for returns are a function of the risk…
A: Investor expectation refers to the efforts, commitments, and passion of the entrepreneur for…
Q: onthly. After this period, the accumulated money was left in the account for another 5.5 yea e same…
A: Future value of deposit includes the amount being deposited and amount of compounding interest…
Q: Today, a firm has a stock price of $14.26 and an EPS of $1.15. Its close competitor has an EPS of…
A: The method of comparables is used to find the equity value of a company by equating its ratios to…
Q: What is your estimate to the PE ratio for a firm that has the same characteristics? O a. 8.75x O b.…
A: In order to grasp this problem, we need to understand the definitions of these key business…
Q: You are going to buy a home for $500,000. You are trying to decide between a issuing a 30 year fixed…
A: An equated monthly installment (EMI) is a set monthly payment provided by a borrower to a creditor…
Q: QUESTION 5 Garfield Inc is considering a new project that requires an initial investment of $39500…
A: The profitability index is used to measure the earnings of the project per unit of the amount…
Q: A P28,000 debt at 15% interest compounded semi-annually is to be amortized at P2,250 every 6 months.…
A: The following is the amortization table. From this we can answer the 3 questions. Please note the…
Q: Last month, a company's net income was $1800. The depreciation expense was $1000. Inventory…
A: Cash flow from operating activities consists of cash inflows and cash outflows from day to day…
Q: Please I need help determining the following: 1.7 Return on Equity (ROE) 1.8 Return on…
A: Return on Equity: It represents the company's measure of profitability and is estimated by the net…
Q: What is the present value of $452,000 to be received in 6 years from today. Assume a per annum…
A: Compound interest is one of the form of interest in which interest is charged on both principal as…
Q: The Bank gives an advertisement of 15% account that yields 15.56% annually. How often is the…
A: Bank Account Interest Rate = 15% Bank Account Yield = 15.56%
Q: Investment required in equipment Expected life of the project Salvage value of equipment Annual…
A: The net cash flows: The net cash flows are considered while evaluating a project. The net cash…
Q: . Compute the accounts receivable collection costs and production and selling costs and then add the…
A: I solved upto Part g related to same question I answered previously. Please give positive rating.
Q: Moranex Corporation borrowed $75,000.00 at 8% compounded annually for 15 years to buy a warehouse.…
A: When we take a loan we pay equal periodic payments. Here the payments are being made annually. The…
Q: Stardom Manufacturing Company (SMC) is in the construction industry for many years. Recently, the…
A: As per our guidelines, we are supposed to answer only 3 sub-parts (if there are multiple sub-parts…
Q: Table 1 shows market data of Smith PLC. Calculate the on Balance Volume. Table 1 Date Open…
A: On balance volume (OBV) is cumulative volume calculated on the following formulaIf current closing…
Q: Assume that you have been hired as a consultant by CGT, a major producer of chemicals and plastics,…
A: Par Value is $1,000 Coupon rate is 8% Compounding frequency is Semi-annual Current Selling price is…
Q: Assume we are trading with Brazil and Brazil goes into an expansion and more of their people are…
A: Exporting means selling goods or services to the foreign country from the home country and buying…
Q: Caiden is close to retirement age, single, and currently earns $120,000 total income. He expects to…
A: There is need of proper planning for retirement and if done in proper method and on proper time you…
Q: 5. You are given the following information for company's Financial: Long-term debt outstanding:…
A: The cost of capital is the return required by a corporation to justify the expense of a capital…
Q: a. Compute the inventory turnover ratio (ITR). b. Compute the weeks of supply (WS).
A: Inventory Turnover Ratio (ITR) = Cost of Goods sold/Total Inventory Total Inventory = Value of…
Step by step
Solved in 3 steps
- Halep Inc. borrowed $30,000 from Davis Bank and signed a 4-year note payable stating the interest rate was 4% compounded annually. Halep Inc. will make payments of $8,264.70 at the end of each year. Prepare an amortization table showing the principal and interest in each payment.Sharapovich Inc. borrowed $50,000 from Kerber Bank and signed a 5-year note payable stating the interest rate was 5% compounded annually. Sharapovich Inc. will make payments of $11,548.74 at the end of each year. Prepare an amortization table showing the principal and interest in each payment.$2,950 was deposited at the end of every six months for 8 years into a fund earning 4.5% compounded semi-annually. After this period, the accumulated money was left in the account for another 7 years at the same interest rate. a) Calculate the accumulated amount at the end of the 15-year term. $ b) Calculate the total amount of interest earned during the 15-year period.
- $2,300 was deposited at the end of every month for 6 years into a fund earning 2.3% compounded monthly. After this period, the accumulated money was left in the account for another 5 years at the same interest rate. a) Calculate the accumulated amount at the end of the 11-year term. b) Calculate the total amount of interest earned during the 11-year period. TVM Solver$5,400 was deposited at the end of every month for 6 years into a fund earning 2.8% compounded monthly. After this period, the accumulated money was left in the account for another 5.5 years at the same interest rate. a) Calculate the accumulated amount at the end of the 11.5-year term. b) Calculate the total amount of interest earned during the 11.5-year period.Find the amount of each payment to be made into a sinking fund so that enough will be present to accumulate the following amount. Payments are made at the end of each period. The interest rate given is per period. $49,000; money earns 4% compounded semiannually for 13.5 years
- Conners' Equipment established a sinking fund to accumulate $250,000 by making payments at the beginning of every three months for three years. Interest earned by the fund is 6.5% compounded quarterly. Determine the increase in the sinking fund during the last payment period.Payments of $4,000 are made into a fund at the beginning of each year for ten years. The fund is invested at an annual effective rate of i. The interest generated is reinvested at 13%. The total accumulated value at the end of the ten years is $110,000. Find i. (Round your answer to two decimal places.)You are given: i. Fund X accumulates at an interest rate of 8% compounded quarterly. ii. Fund Y accumulates at an interest rate of 6% compounded semiannually. iii. At the end of 10 years, the total amount in the two funds combined to $1000. iv. At the end of 5 years, the amount in Fund X is twice that in Fund Y. Calculate the total amount in the two funds at the end of 2 years.
- 3) Payments of $2500 made at the beginning of each semiannual period for 15 years at 4% compounded semiannually Find the amount of each payment to be made into a sinking fund so that enough will be present to accumulate the following amount. Payments are made at the end of each period. The interest rate given is per period. Please show all the workings.3) Payments of $2500 made at the beginning of each semiannual period for 15 years at 4% compounded semiannually Find the amount of each payment to be made into a sinking fund so that enough will be present to accumulate the following amount. Payments are made at the end of each period. The interest rate given is per period.3) Payments of $2500 made at the beginning of each semiannual period for 15 years at 4% compounded semiannually Find the amount of each payment to be made into a sinking fund so that enough will be present to accumulate the following amount. Payments are made at the end of each period. The interest rate given is per period. Please show all workings step by step