fund is to be set up for an annual scholarship of $5000. If the first payment is due in three years and interest is 6.2% compounded quarterly, what amount mis be deposited in the scholarship fund today
Q: nd spent the following amounts for the maintenance of the machine she bought: PhP 4,000 each yea…
A: Present value of future cash flow is value of money today that is equivalent to future cash flow…
Q: $1,090. The bond pays interest annually. Each bond can be exchanged for 20 shares, and the stock…
A: Price of bond is present value of coupon payment and present value of par value of bond considering…
Q: Howard holds 3,000 shares in Bean, a firm with a stock price of $30. Bean has announced a dividend…
A: The investor would receive a dividend of $1.50 per share. The dividend received can be reinvested in…
Q: Payments on a six-year lease valued at $42050 are to be made at the beginning of every six months.…
A: Semi - annual payment can be calculated as: = Total amount / Present Value Factor of annuity (i%, n…
Q: payment on a house. If you can invest your money at 3.25% compounded month, what payment would have…
A: Future Value of Annuity: It is the future value of the present cash flow stream and is estimated by…
Q: capital (WACC;) if it uses retained earnings as its source of common equity? Do not round…
A: WACC (Weighted Average Cost of Capital): It is known as the firm's average cost of capital and is…
Q: Compute the present value of growth opportunities if the dividend payout ratio is 35%, the return on…
A: Present value of growth opportunities(PVGO) can be defined as the component of share value that…
Q: present value
A: Net present value refers to the difference between the cash inflow and cash outflow in a…
Q: Approximately what percentage of CPAS surveyed earn between $75,000 and $90,000 annually?
A: A box and whisker plot is a graphical representation of a data set. It highlights five important…
Q: You want to be able to withdraw $50,000 from your account each year for 25 years after you retire.…
A: Here, Annual amount to withdraw = $50,000 Time in years after retirement = 25 years Time to…
Q: 2. The company is considering a project involving the purchase of hew equi he following: Use Exhibit…
A: Net present value (NPV) It is a capital budgeting tool to decide on whether the capital budget…
Q: 10. Assume a preferred stock has a dividend of 1.8$/year. The required rate of return on similar…
A: The intrinsic value of preferred stock is calculated as preferred dividend divided by the required…
Q: Assume the following characteristics of à bónd: Seling at 96.000, 2.3% coupon, annual pay, 12 years…
A: Selling Price of Bond is 96.000 Coupon rate is 2.5% Time to Maturity is 12 years Face Value of Bond…
Q: ISE THE FOLLOWING INFORMATION TO ANSWER THE FOLLOWING PROBLEM(S) Est $ Last Last EST Company Ticker…
A: 1) Annual Dollar Coupon Amount: = Coupon Rate * Face Value of Bond = 4.75% * $1000 = $47.50
Q: what is the future value of an mortar $300 after 4 years if it has invested in an account paying an…
A: Here, Amount is $300 Time Period is 4 years
Q: 13. Sergei and Anya own a three-bedroom bungalow. They make weekly mortgage payments of $217.98.…
A: Annual expenses: For every Escalation Year, Annual Expenses refers to the total of Taxes and…
Q: Having finally entered the working world, Troy took out an $863,000 loan at 3.60% interest…
A: Solution:- When a loan is taken, it is repaid with interest. The original amount of loan is called…
Q: Windhoek Mines, Limited, of Namibia, is contemplating the purchase of equipment to exploit a mineral…
A: The net present value or NPV of any project is a financial measure through which the profitability…
Q: 3 Purina Dog Chow is attempting to determine th objective. The brand currently holds 10 share pa…
A: The amount expended for the marketing of the product or business is known as a marketing…
Q: A company has a 13% WACC and is considering two mutually exclusive investments (that cannot be…
A: Here, Note: We are solving Part d to g as mentioned in the question.
Q: Investment - Total Rate of Return. Bailee purchased 475 shares of Millersview Corp. at $22.78 and…
A: The sum of capital yield and the dividend yield is known as the total yield on stocks. The dividend…
Q: An annuity with a cash value of $12,000 pays $2,050 at the beginning of every six months. The…
A: Annuity: An annuity is the series of payments which is received or paid for a certain period of…
Q: Mr. C, married, is a citizen and resident of the Philippines. He had the following data on income…
A: Individuals and businesses pay income taxes based on their earnings or profits. In most…
Q: Suppose an investor gave you $150,000 to start your business. You gave this investor 50 percent of…
A: ROI The return on investment (ROI) is calculated as a percentage of profit generated by a certain…
Q: A six-year bond is selling for $984. The bond has a face value of $1,000 and a yield to maturity of…
A: Given: Particulars Amount Current price (PV) $984 Face value (FV) $1,000 Yield maturity…
Q: Sierra Company is considering a long-term investment project called ZIP. ZIP will require an…
A: Solution:- We know, Internal Rate of Return (IRR) is the rate of return the project is yielding ie.…
Q: ase solve within 15 minutes I will give thumbs up to you)
A: Given, Price of car = $12,000 Down payment = 25% =…
Q: Which of the following actions will have the result of increasing financial leverage in the firm? In…
A: Leverage in a firm represents the level of debt in a firm. A firm's leverage is said to increase if…
Q: 2. For a callable bond, the issuer has the right to "call" back the bond (that is to redeem the…
A: The base amount formula: The base amount formula can be used for the purpose of bond calculations…
Q: The Welcome Home Company has issued rights to its shareholders . The stock is currently selling for…
A: Value of 6 rights = current selling value of stock - Amount required to participate in offering
Q: The price of a bond with no expiration date is originally $5,000 and it pays an annual interest…
A: The bond that provides coupon payment indefinitely to the bondholder is called a perpetual bond with…
Q: There are three main types of methods to forecast exchange rates: technical forecasting fundamental…
A: Forecasting refers to a technique that is useful for analyzing the historical data for taking the…
Q: What is the present value of a security that will pay $3,000 in 20 years if securities of equal risk…
A: Present Value: It is the present worth of the future amount and is estimated by discounting the…
Q: to solve in 30 minute A debt of $7,500 accumulated interest at 3.5% compounded monthly for 15…
A: Debt have interest to be paid each period depending on the prevailing interest on that debt and…
Q: $104.61
A: Forward price refers to the agreed price of an asset that is to be used in the forwarding contract…
Q: deposit $200 at the end of each month for 10 years. If the account pays 7.5% compounded monthly, how…
A: Future Value of Annuity: It is the future worth of the current cash flow stream and is computed by…
Q: Conside thể following ate of Labanos Company: Year Investment Cash Inflow 1 4,000 1,000 2 3 2,000 4…
A: Given: Year Investment Cash inflows 1 -$4,000 $1,000 2 $0 3 $2,000 4 -$2,000 $1,000…
Q: The present worth of $5,000 in year 3, $10,000 in year 5, and $10,000 in year 8 at an interest rate…
A: The present worth is calculated as sum of present value of the cash flows.
Q: Conservative financing strategy provides long-term funds based on the minimum requirements with…
A: Financial strategy means the funding strategy that the company prefers to take to meet its financial…
Q: (a) Determine the number of rounded payments required to repay the mortgage. (b) Determine the size…
A: Loan amortization refers to a schedule which is prepared to shows the periodic loan payments, amount…
Q: ABC has 20 million shares outstanding, trading at $20 per share. ABC currently has no debt, but…
A: The rate of borrowing funds through debt is known as the cost of debt. Interest on debt is a tax…
Q: Ms. Pan Aram has set the goal of accumulating Php 4,000,000 for her son's college fund, which will…
A: Here, Future value of deposited amount = Php 4,000,000 Number of years = 18 years Interest rate = 8%…
Q: search and make a reflection paper on how the Government exerted efforts to help its citizens during…
A: Taxes are mandatory contributions made by government agencies from individuals or businesses,…
Q: Stéphanie visited a financial institution and signed a 10-year, non-interest-bearing promissory note…
A: Value of promisory note is $6000 Years to maturity is 10 years Interest rate is 2.15% Compounded…
Q: end of the 10 year period? 3)An annuity is created by depositing $4,500 at the end of each quarter…
A: Since you have asked multiple questions, we will solve the first question for you. If you want any…
Q: What is the IRR for this project cashflow?
A: IRR (Internal Rate of Return): It is the rate at which the NPV (net present value) of an investment…
Q: Find the nominal annual rate of interest for the following investment. Principal $1848.00 Future…
A: Future value ( compound Interest) = P1+rmmt here, P = Principal…
Q: Your factory has been offered a contract to produce a part for a new printer. The contract would…
A: The NPV rule says that the investment should be made if the project generates a net positive NPV…
Q: XYZ corp. has issued $100 zero-coupon corporate bonds with 5-year maturity. Investors believe there…
A: Given: Face Value "FV" = $100 Default % = 20% Amount when default = 0.50*$100 = $50 Not default % =…
Q: ermine the amount of each payment?
A: Monthly payment refers to the amount which is due to be paid at regular intervals for some…
Step by step
Solved in 2 steps
- If 90,000 is invested in a fund on December 31, 2019, and 5 equal annual withdrawals of 23,138.32 are made starting on December 31, 2020, that will deplete the fund, what is the interest rate being earned if interest is compounded annually?A scholarship fund is to be set up to provide monthly scholarships of $600. If the first payment is due in 3.0 years and interest is 6.0% compounded quarterly, what sum of money must be deposited in the scholarship fund today?An endowment fund is providing an annual scholarship of P50,000 for the first five years, P60,000 for the next five years, and P90,000 thereafter. The fund will be established today and will award the first scholarship after a year. The fund earns 4.5 % annual interest. Find the present worth of this cost.
- A college wants to provide students with a perpetual scholarship of $10,000 at the end of every 3 months. How large should their endowment fund be if invested at X% (choose the rate) compounded quarterly?How much can be paid in scholarship at the beginning of each month if $231,500 is deposited in a trust fund if interest is 5.6% compounded monthly?How much can be paid in scholarships at the end of each half-year if $210,000 is deposited in a trust fund if interest is 4.5% compounded semi-annually?
- An endowment fund is to provide an annual scholarship of P4,000 for first 5 yrs, P6,00 for the next 5 yrs, and P9,000 thereafter the fund will be established 1 yr before the first scholarship is awarded. If the fund earns 12% interest, what sum must be deposited?trust fund for a childs education is being set up by a single payment so that at the end of 15 years there will be shs 24,000,000. If the fund earns interest at the rate of 7% compounded semi-annually how much money should be paid into the fund initially?Find the periodic payment for each sinking fund that is needed to accumulate the given sum under the given conditions. (Round your answer to the nearest cent.) FV = $1,900,000, r = 9%, compounded monthly for 25 years
- A sinking fund of $100,000 is to be established with equal payments at the end of each half-year for 15 years. Find the amount of each payment if money is worth 10% compounded semiannually.A fund of 25000 is to be accumulated by means of deposits of 1000 at the beginning of every year as long as necessary. If the fund earns an effective rate of interest of 8%, find how many regular deposits will be necessary and the size of a final deposit to be made on the last regular deposit.A lump sum S deposited into either fund X or fund Y will be exactly sufficient to provide a perpetuity of $100 per year with the first payment due at the end of one year. Fund X will earn interest at an effective annual rate of 10% for the first 30 years and 6% thereafter. Fund Y will earn interest at a level effective annual rate of j. In which of the following ranges is j? someone help?