Compute the present value of an $1,200 payment made in 9 years when the discount rate is 11 percent. (Do not round intermediate calculations. Round your answer to 2 decimal places.) Present Value

Q: The ABC company is considering constructing a plant to manufacture a proposed new product. The land…

A: Here, Land costs = P15,000,000 Building costs = P30,000,000 Equipment costs = P12,500,000 Working…

Q: Services provides landscaping services in Edison. Kate Chen, the owner, is concerned about the…

A:

Q: You found your dream house. It will cost you $300000 and you will put down $30000 as a down payr For…

A: Mortgage loans are secured loans and they are necessary while buying home because these make buying…

Q: sider the following three-bond portfolio in which all the bonds are option free: Bond Price Par…

A: The duration of portfolio is weighted average duration of portfolio of bonds depending on the market…

Q: Suppose that in April 2019, Nike Inc. had sales of $36,403 million, EBITDA of $5,214 million, excess…

A: Given: Sales = $36,403 million EBITDA = $5214 million Excess cash = $5245 million Debt = $3818…

Q: The company cost of capital may be an inappropriate discount rate for a capital budgeting proposal…

A: Cost of capital will be inappropriate discount rate if a proposal has different degree of risk…

Q: You borrow $1,000 from the bank and agree to repay the loan over the next year in 12 equal…

A: The Present Value of Ordinary Annuity refers to the concept which gives out the discounted or…

Q: $20,500 is invested in this portfolio which consists of stocks Netflix (NFLX) and Amazon (AMZN).…

A: To Find:  Portfolio expected return Standard deviation

Q: Canton Corp. produces a part using an expensive proprietary machine that can only be leased. The…

A: Break even point represents that level of sales volume at which the total costs equal total revenue.…

Q: Explain how a shareholder can, without knowing the future, diversify away the unsystematic risk of…

A: Unsystematic risk It is the risk that is specific to a company or industry. Unsystematic risk is not…

Q: years old now. He wants to accumulate $800,000.when he retires at age of 65. He starts depositing…

A: There is need of the planning for retirement and if we do on the time it will give good results and…

Q: Assume the following information about the market and Lithium Motors Stock.​ Lithium's beta​ = 1.80,…

A: Beta (b) = 1.80 Risk free rate (Rf) = 0.025 Market risk premium (Mp) = 0.08 Expected return = ?…

Q: A two-asset portfolio is made up of 80% of Share A, for which the variance is 50, and 20% of Share…

A:

Q: She will require a return of at least 9% on her stock investments and 4% on bond investments.…

A: YTM of bond is yield to maturity is the rate of return realized on bond when held till the maturity…

Q: a. At an effective rate of interest of 8% per annum, the present value of P 100,000 due in x is…

A: Present value is the equivalent value today based on the interest rate and period of interest and…

Q: ame an Islamic financing product offered from a bank on paskistan. Explain h

A: Islamic products are based on Islamic financing principal and they are slightly different from…

Q: 3. In Valenzuela City there were more workers strikes in 2009 than there were in other cities in…

A: concept. times series graph  It is also called as  time series chart or time series plot. It…

Q: Given the following cash flows, what is the future value if the interest rate is 5%? Year 1 2 3…

A: Future value is the value of a sum of money at a future point in time for a given interest rate. It…

Q: Fujita, Incorporated, has no debt outstanding and a total market value of $222,000. Earnings before…

A: The EPS of a company provides information regarding its profitability. It considers the bottom line…

Q: D Right Side Inc. will offer a coupon of 4% per annum on its much awaited 20-year bonds. By the…

A: Here, To Find: Yield to maturity (YTM) =?

Q: Suppose you had ₱100 in a savings account and the interest rate was 2% per year. After 5 years, how…

A: Future Value refers to the compounded value of a single cash flow received today or multiple cash…

Q: Using the formula for the time value of money, if a sum $15,000 is invested for one year at 10%…

A: Future Value refers to the compounded value of a single cash flow received today or multiple cash…

Q: MAT 143 6.5 LAB THE COST OF LIVING IN DIFFERENT PARTS OF THE UNITED STATES The cost of living can…

A: A question on monthly living expenses budget appears here. We need to calculate how many hours, 2…

Q: What are the firm’s net profit margins for 2018 and 2019?

A: Net Profit Margins = Net Income /Sales   The Correct Answer is Option b 22.79%, 15.56% as calculated…

Q: Why study financing?

A: Borrowing, the usage of cash balances, and various other operations are used to fund a deficit or a…

Q: Clifford Clark is a recent retiree who is interested in investing some of his savings in corporate…

A: A) Bonds which trade at the par or face value are known as Par bonds. In this case, the coupon rate…

Q: A payment stream consisting of $1807 due (but not paid) 9 months ago, and $40 months is to be…

A: The simple interest is very simple and straight forward interest and there is interest on the…

Q: a. What impact would accepting this special order have on operating profit? (select option "higher"…

A: In this case we have to determine whether the special order is financially viable or not. For this…

Q: ou borrow $210,000; the annual loan payments are $18,653.76 for 30 years. What interest rate are you…

A: Yield to maturity can be calculated by following function in excel =RATE (nper, pmt, pv, [fv],…

Q: 3) It is known that an investmen 5 000 will increase to 40.000 at the end of 30 ves sum of the…

A: Present value of the future cash flow depends on the interest and time period and cash flow from the…

Q: You’ve just taken out the $100,000, 30 yr mortgage at 6%.  When will the mortgage be paid in full…

A: Loans are paid by equal monthly payments which carry the payment of interest and payment of…

Q: (1) (C) Assuming that bank charges simple interest, P 50,000 will accumulate to P 57,500 at rate i…

A: Simple interest is one of the most used methods of calculating interest on a loan. The principal…

Q: Mrs. Lim's purchase contract for a house and lot specifies that she will pay $500,000 cash and…

A: Loans are paid by the equal monthly installments and these carry the payment for interest and also…

Q: Oriole Corp. issued $410,000 of 3-year, 4% bonds on May 1, 2024. The market interest rate when the…

A: Bonds are debt instruments where the issuer pays the investor a fixed interest periodically as well…

Q: Tony Ring wants to attend Northeast College. He will need $65,000 4 years from today. Assume Tony's…

A: Solution:- When an amount is invested somewhere, it earns interest on it. The amount initially…

Q: PMT to determine the regular payment amount, rounded to the nearest dollar. The price of a home is…

A: Mortgage loans are secured loans for buying homes and mostly used by the buyers of home. In the…

Q: 4. Luke A. Manufacturing paid a dividend yesterday of $5 per share (D0= $5). The dividend is…

A: According to the Gordon growth model, the value of an equity share is the present value of dividends…

Q: (2) a. At an effective rate of interest of 8% per annum, the present value of P 100,000 due in x…

A:

Q: C Inc. is planning to issue new annual coupon bonds with a maturity of ten years. The company…

A: The bonds have the annual interest payments to be paid and the face value is to be paid on the…

Q: Calculate the NPV for each project.  Which model would you recommend? 2.  Calculate the IRR for…

A: Information Provided: Project life = 10 years Cost of capital = 10% CAM X cost = 3,600,000 CAM X…

Q: promised to pay his son $300 semiannually for 9 years. Assume Pete can invest his money at 8% in an…

A: There is need of proper planning for the future and if done on the proper time it can have proper…

Q: What are the firm's ROE for 2018 and 2019 a. 10.4%, 9.8% b.19.7%, 16.0% c.11.95%, 9.17% d. 9.5%,…

A: Net Income for 2018 is $141 Total Equity for 2018 is $717 Net Income for 2019 is $116 Total Equity…

Q: You are the CFO of a company that has a market capitalization of $20 billion. The firm has 50…

A: Information provided: Market cap = $20 billion Shares outstanding = 50 million Current price = $400…

Q: (3) It is known that an investment of P5,000 will increase to P 40,000 at the end of 30 years. Find…

A:

Q: Bo's Home Manufacturing has 280,000 shares outstanding that sell for $43.87 per share. The company…

A: Share repurchase is a corporate event in which the company will purchase back it's own share in the…

Q: What is the firm's marginal cost of capital at each of the following total investment levels? i.…

A: Information Provided: Before-tax cost of debt = 7% (First $112 million) Before-tax cost of debt =…

Q: nominal rate, semiannual compounding, discounted back 5 years. Do not round intermediate…

A: Present value if equivalent value of cash money today to be received in the future period based on…

Q: Ferrari Corp., an automotive producer with a current debt-to-equity ratio of 3, is considering…

A: We need to find the unlevered cost of equity of the bicycle industry, first and then lever it to…

Q: What is the future value (FV) of $55,000 in twenty-five years, assuming the interest rate is 13% per…

A: Solution:- When some amount of money is invested somewhere, it earns interest on it. The amount…

Q: From California to New York, legislative bodies across the United States are considering eliminating…

A: Non customers earn wage - $ 26/ hr ATM fees - $ 3.50 / transaction   Based on the given information,…