Imagine you received two offers. You need to decide which one means more money for you! OFFER #1: Right away, you receive $2,410,000. Also, you will receive 40 back-to-back payments of $1,205,000 each, six months apart, and the first one of these will take place in one year. The discount rate is 8 percent, with daily compounding. OFFER #2: Right away, you receive $27 million. And nothing else in the future. To make your decision, you need to first figure out how much Offer #1 is worth to you in today's dollars. The answer is: $ (Assume thirty days in each month and twelve months in each year.) (Do not round intermediate calculations. Round your final answer to 2 decimal places, e.g., 12.34.)

You have just won the lottery and will receive $520,000 in one year. You will receive payments for 26 years, and the payments will increase 4 percent per year. If the appropriate discount rate is 12 percent, what is the present value of your winnings?

A database marketing firm can lease its computer equipment with beginning-of-quarter payments of $10,000 for three years. Alternatively, it can purchase the equipment for $131,200 on a loan at a rate of 9% compounded quarterly with an expected resale value after three years of $33,000. Which option would you recommend, and how much better in today's dollars is your chosen alternative?

You are considering a 10 year investment plan in which your target is $150,000. There are two options available for you:   Option 1: Putting exactly an equal amount of money into an investment fund at the end of each year for 10 years with the rate of return of 8%, annually compounding.   Option 2: Putting your initial investment of $50,000 in an asset that will pay you 9% rate of return, compounding quarterly for the first 6 years. The rate of return, compounding annually for the last 4 years (the period from year 7 to the end of year 10) has not been defined yet.   Required: Compute the effective annual interest rate (EAR) in the first 6 years in Option 2?  Compute the annually compounding rate of return you should target for your asset in the following 4 years to get $150, 000 at the end of year ten in Option 2?

You are scheduled to receive $45,000 in two years. When you receive it, you will invest it for 8 more years at 6 percent per year. How much will you have in 10 years? Multiple Choice $80,588.15 $75,309.32 $68,137.01 $51,341.32 $71,723.16

Your group receives a phone proposal to invest in a new business. Thecaller informs you that it will take a $70,000 down payment and the investmentwill return $10,000 a year for the next 10 years. He tells you that theinvestment will return 14 percent. If current interest rates are 8 percent,what is the present value of this investment? How did the caller get14 percent?

A.) You want to have $350,000 saved up by the time you retire in 30 years, How much would you need to deposit each month into a savig account earning 6.5% annual interest to achieve this goal? Round to the nearest cent, if necessary.  Excel formula: Your answer:

Starting next year you plan to deposit $1000 each year into an account earning 9.25% effective annual return.  How many years will it take for your account to grow to $20,000, if you increase your deposit each year by 5%?  (Hint: use excel goal seek).

You buy a car for $34,000.  You pay $10,000 down and finance the rest at 3% monthly over five years.  If the payment is rounded up to the nearest dollar, what is the final payment?

you have just won the lottery and will receive $460,000 in one year. you will receive payments for 21 years, and the payments will increase 4 percent per year. if the appropriate discount rate is 11 percent, what is the present value of your winnings? Please explain how to solve using the financial calculator to show and explain steps thanks