The purchase price of an acre of land in the Louisiana purchase in 1803 was about 4 cents. Suppose the value of this property grew at an annual rate of 4.9% compounded annually. What would an acre of land be worth in 2016?

Q: calculate the present value using the present value chart needed to obtain $6,400 in 8 years at 8%…

A: Present value is current value of future payments at a given rate of interest. Given: Future value =…

Q: An investor purchased a 182-day, $10,000.00 T - bill on its issue date for $ 9910.29. After holding…

A: The objective of the question is to calculate the original yield of the T-bill, the selling price of…

Q: The annual income from an apartment house is $33,600. The annual expense is estimated to be $8000.…

A: Return on investment = 6% = 0.06 Initial investment = $349,000 Annual net income = Annual income -…

Q: A property is being valued as if it will yield a perpetual annual stream of profits, starting 2…

A: Perpetuity is the stream of cash flows or payments that are made at equal intervals that do not have…

Q: required 10% return on his money. A property had gross annual income of $110,000, a vancy rate of…

A: The property is long term investment and valuation of property is done based on the earning…

Q: favorable financ

A: A sale is an agreement between two parties related to the price, delivery of product or services…

Q: Present Value Computations Using the present value tables, solve the following. (Click here to…

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Q: what would be the present value of $10,000 in the future?

A: Time value of money (TVM) means that the amount of money received in the present period will have…

Q: On 31 December 2013, the fair value of the asset less costs to sell was OMR 50,000 and the expected…

A: Present value of future cash flow = Expected annual future cash flows x Present value factor

Q: * Your answer is incorrect. Find the present value of an investment in plant and equipment if it is…

A: Solution Balance sheet is the company's financial statement which shows company's assets ,…

Q: You invest the sum of ¢1,750,000.00, you generate the sum of ¢625,500.00, at an interest rate of…

A: It is related to the concept of time value of money. The concept says that the certain sum of money…

Q: The purchase price of an acre of land in the Louisiana purchase in 1803 was about 4 cents. Suppose…

A: Price of 1 Acre of land in 1803 is 4 cents The interest rate is 5.1% Compounded annually To Find:…

Q: If $13,000 had been invested in a certain investment fund on September 30, 2008, it would have been…

A: For calculation of interest rate earned on investment , we will use RATE function of excel :

Q: Green Leaf Company bought a machine in 2004. This machine enabled the company to save 4,000 KD per…

A: N, Represents the number of years i, represents the rate of interest

Q: Two independent situations follow. Click here to view the factor table PRESENT VALUE OF 1. Click…

A: given information cost of land to be recorded is  the land assessed value is 390000 interest-bearing…

Q: Documents from a 13th century English estate reveal that the value of its flock of sheep was £56.…

A: Here, Value of Flock of Sheep is £56 Profit is £23 Same Profits will continue forever

Q: Novak Corp. has just purchased equipment that requires annual payments of $70000 to be paid at the…

A: Calculation of present value

Q: Where does the $9,250,000 depeletion base come from

A: The depletion base is the sum of the amount paid by a company to acquire the right, plus an…

Q: Say you sold a property for $200,000 after holding it for two years. You paid $140,000 for it and…

A: The return on sales of assets is also recognized as a return on the capital gain. The…

Q: You invested $10,000 on January 1, 2018, at 7% interest compounded annually. You have not touched…

A: Future value is the future worth of a cash flow at a certain rate of interest and time period.…

Q: 1. You bought an investment for $15,000 in 2000 and sold it for $26,000 in 2014. What was the annual…

A: The concept of TVM refers to the fact that money earned earlier is considered more valuable than the…

Q: What is the present value, using the present value formula. Achieve $225,500 at 8.65% compounded…

A: The time is 8 years, 155 days. This can also be said as (8 + 155/365)years

Q: Based on a company's present value of 13.62 billion dollars, how can i calculate what would be a…

A: PV= 13.62 billion dollars n= 3 years r= not given   PV = FV/(1+r)n PV = Present value, also known as…

Q: P19,044.00 and a salvage value of P2,193.00? The economic life is expected within 7 years.

A: solution given Cost of asset 19044 Salvage value 2193 Life 7 years At what…

Q: What is the present value of $73,000 in 11 years if the interest rate is 8% compounded…

A: Formula of Prsent value interest factor = 1(1+rm)m×t where; r = annual interest rate m = number of…

Q: Assume that in 2018 a copper penny struck at the Philadelphia mint in 1796 was sold for $450000 what…

A: Given information: Let us assume the value in 1796 is $0.01  Value in 2018 is $450,000

Q: using a capitalization of 10% a commercial property is valued at 420000. the expenses are 30% of the…

A: Capitalization rate = 10% Property Value = 420,000 Expenses = 30% of gross income

Q: A property sold for $4.9 million, which equated to a 6.95% cap rate on the estimated first year NOI.…

A: In this question, we are required to determine the expected NOI.

Q: JPX's decides to value a property based on its expected net after-tax monthly cash flow of $7,400,…

A: Prepetuity In the financial system, perpetuity refers to a circumstance in which a stream of cash…

Q: An investment costs $3128 and pays $580 in perpetuity. If the interest rate is 12%, what is the NPV?…

A: Net Present Value is also known as NPV. It is a capital budgeting techniques which help in decision…

Q: Assume that in 2018, a copper penny struck at the Philadelphia mint in 1795 was sold for $405,000.…

A: Calculation of rate of return on investment:Answer:The rate of return on investment is 8%Note:1cent…

Q: Find the value of G that makes the equivalent annual worth in years 1 through 7 equal to $500. The…

A: The formula used for calculating G is:

Q: what is the rate of interest?

A: Interest rate is the amount which is due in connection with the loan amount or deposit. It is the…

Q: With an interest rate of 5 percent per year, what is the present value on December 31, 2020 of…

A: Present value is also known as a present discounted value, in which the future value of cash inflows…

Q: Sales are $2.45 million in 2020, $2.55 million in 2021, and $2.35 million in 2022. What is the…

A: Solution: percentage change from 2020 to 2021 = (Sales of 2021- sales of 2020) / sales of 2020 =…

Q: An investor purchased a 182-day, $10,000.00 T - bill on its issue date for $ 9910.29. After holding…

A: The objective of the question is to calculate the original yield of the T-bill, the selling price of…

Q: You purchased JM Smucker (SJM) two years ago. During that time the total return for SJM has been…

A: Annualized return refers to the rate of return that is being earned by the investors over the amount…

Q: You bought a painting 5 years ago as an investment. You originally paid $168,000 for it. If you sold…

A: The compound interest rate is earning interest on interest, and the compound interest rate is…

Q: Using the below information, what is value of this property today? The discount rate is 18%. [Round…

A: To find the present value of the property, we'll discount each cash flow to its present value and…

Q: A lot purchased for $4,500 is held for five years and sold for $13,500. The average annual property…

A: Long Term Capital gain is the gain on sale of property held for more than 2 years. It is the…

Q: Suppose that 2 years ago you bought an old record player at a yard sale for $5.99. You saw today on…

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Q: You just purchased a parcel of land for $40,000. To earn a 9% annual rate of return on your…

A: Future value of a present amount The future value (FV) for a present value (PV) that earns annual…

Q: An investor purchased a 91-day, $10,000.00 T-bill on its issue date for $9915 98. After holding it…

A: A T-bill is a debt instrument used by the government to raise short-term capital. The usual duration…