1. FastDrop economic value You are planning to place your money in safe government securities, which currently offer a 4% riskless rate of return. Before making this investment, an entrepreneur approaches you and asks you to purchase her new business venture, Fast Drop, a delivery service for legal documents that would produce a single cash inflow of $80,000 at the end of the year. You have determined that 6% is an appropriate risk premium for this investment. How much would you be willing to pay for Fast Drop?
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- Off-The-Books Investment Firm, LLC, has offered you an investment it says will return to you $20,000 in 2 years. To get in, you'll need to make a $10,000 deposit to their receivables account and promise not to tell anyone about it. What is the annual return on investment? Answer in Excel. Please make sure that you use every argument in EXCEL, Please leave nothing blank! ThanksQUESTION a. As part of your company’s financial planning, you plan to buy a car for your newexecutive, which costs RM70,000. You have RM3,000 to invest as a lump sum today.You are a conservative investor and only invests in safe products. After approachingdifferent banks, you are offered the following investment opportunities: i. Mija Bank’s savings account with an interest rate of 10.8% compounded quarterly.ii. Miju Bank’s savings account with an interest rate of 11.5% compounded annually.iii. Miji Bank’s savings account with an interest rate of 9.3% compounded monthly.How long will it take for you to accumulate enough money to buy the car in each of theabove three cases? b. Laila Ahmad, the financial manager for Tangga Kejayaan Incorporation, wishes toevaluate three prospective investments: A, B, and C. Laila will evaluate each of theseinvestments to decide whether they are superior to investments that his companyalready has in place, which have an expected return of 15% and a…Off-The-Books Investment Firm, LLC, has offered you an investment it says will return to you $20,000 in 2 years. To get in, you'll need to make a $10,000 deposit to their receivables account and promise not to tell anyone about it. What is the annual return on investment? Answer in Excel.
- Off-The-Books Investment Firm, LLC, has offered you an investment it says will return to you $20,000 in 2 years. To get in, you'll need to make a $10,000 deposit to their receivables account and promise not to tell anyone about it. What is the annual return on investment? Answer in written and excel.Please help This is one question with 4 sub-part. don't use excel formulas. A long time ago Lisa had put an amount of $50,000 into an investment in the securities market. Now she has $150,000 in her investment account. Required: If the Lisa would have wished to obtain the target of $150,000 within 10 years only, how much money should she put into the initial investment given the same rate of return is applied? Assume that Lisa would like to put the amount of $150,000 into another investment and aims for a new saving target of $500,000 to buy a new house in 12 years. How much is the rate of return should Lisa aim for to get her $500,000 after 12 year? Lisa decided to borrow 350 000 from Commonwealth Bank to buy her new home. The bank offers Lisa the lending rate of 4.83% per year (compounding monthly) and she is expected to make an equal mortgage payment each month for 30 years. Calculate monthly payment Lisa need to make for the mortgage? Lisa would like to buy some furniture for…An investment advisor currently has two types of investments available for clients: a conservative investment A that pays 8% per year and investment B of higher risk that pays 14%. Clients may divide their investments between the two to achieve any total return desired between 8% and 14%. However, the higher the desired return, the higher the risk. How should each client listed in the table invest to achieve the desired return? Client 1 Client 2 Client 3 k $21000 $40000 $31000 k, Annual Return Desired $2460 $3860 $3740 k2 Total Investment How much money should Client 1 invest in each account to achieved the desired return? Amount in investment A: Amount in investment B: How much money should Client 2 invest in each account to achieved the desired return? Amount in investment A: Amount in investment B: How much money should Client 3 invest in each account to achieved the desired return? Amount in investment A: Amount in investment B:
- Please solve via excel to show work. Q: Now that you have the RV all set, you want to have a fishing boat to go with it. The boat you want is a MODEST $61,250. You are able to place $2.120 in to an account at the end of each year. No balance on year 0. First deposit is on year 1. But, you know that won't get you there. You are expecing some bonds to mature soon (6 Years). Start the savings account now. 6 years from now, you will have money from bonds to apply to this loan. If you can get a 4.51% rate on you account (PYCY), how much do you need from your bonds to make this work?There is an investor stating they will pay out $84,000 at the end of 4 years. In order to invest into the opportunity, you'll need to make a deposit of $10,000 to thier indicated bank account. What is the average annaul return rate. Use excel functions to indicate your steps.use excel 3. You are considering investing in a startup company called Minions Technologies. After careful analysis, you determine that Minions will be able to generate $100,000 in cash flow at the end of each year for the first 5 years. Then, Minions will generate cash flow of $400,000 at the end of the 6th year, after which it will grow at 11% per year forever. Using a discount rate of 18%, what is the amount you would be willing to invest?
- you are planning to start a business with an initial capital of P100,000. you decided to put up a fund with deposits made at the end of each month. if you want to gain the initial capital after 4 years, how much monthly deposit must be made? what should be the interest rate in order to achieve the possible amount needed? how are you going to invest your money that in short period of time so that you can start your business smoothly?A startup company has developed a new mobile app tha thas the potential to disrupt the market. The company is seeking funding to launch and market the app. The company is considering two financing options: equity financy wiht a venture capital firm that offers a valuaiton of $10m an debt financing with a bank at an interest rate of 10% over a five year term. What is the total interest expense for the bank loan over the five year term if the copany borrows $2m $100,000 $200,000 $300,000 $400,000 Please provide detail regaridng answer. I believe it is $200,000 but answer key shows $300,000 and I am not seeing how possibleParticipation #5: Think about the cash flows associated with putting in the bank for five years, assuming you draw out the interest each year and then close the account. Now think about a set of hypothetical cash flows associated with putting the same money in a business, operating for five years, and then selling out. Write an explanation of why the IRR on the business project is like the bank’s interest rate. How are the investments different?