Hak Young has accumulated some credit card debt while he was in college.  His total debt is now $13,864.82 Hak Young is daunted by that monthly payment amount and is trying to figure out how he can make paying off his loan more manageable.  He went to his bank and found out he could get a personal line of credit that he could then use to pay off his credit card.  The line of credit has an interest rate of 9% compounded monthly.  Assuming he still planned to pay off his debt in 5 years, what would his monthly payments to the bank be now?  What will be the total interest paid?

Q: A company considering water flooding plan for one its small oil field, the chances of success is as…

A: Here, Initial Cost = 15 MM Available venture capital funds = 10 MM Risk = 10% To Find: Net present…

Q: 30 You hope to buy your dream house six years from now. Today your dream house costs $189,900. You…

A: Future value of dream house = PV * (1+r)^nWhere PV = Present Valuer = Average rise in pricesn =…

Q: A clothing store buys scarves for $22.00 less 27% for buying over 50 pairs, and less a further 24%…

A: We will first calculate the cost price to calculate the selling price thereafter, and by applying…

Q: 18 A stock has an expected return of 13.74 percent. The return on the market is 12.68 percent, and…

A: As per Capital Asset Pricing Model, Expected Return  = Risk free return +[ Beta * ( Market return-…

Q: Alternative K the preferred alternative? [A] 0%<=MARR<=8.144169% [B] 4.2775% <=MARR<=8.144169% [C]…

A: The MARR is minimum attractive rate of return that project must earn to satisfy the investors and to…

Q: You have $1000 in an account earning 4% APR compounded daily.  At the same time, you are to pay a…

A: Interest rate compounded daily is 4% Amount in account(PV) is $1000 Amount needs to pay in future…

Q: # 1 Interest Amount Present Value $16,775.00 Interest Rate Time 0.5% per month 6 months Future Value

A: Future Value: The future value is the amount that will be received at the end of a certain period.…

Q: what is the interpretation of full-time equivalents (FTEs) when calculating number of total…

A: FTE is a measurement unit which is used to compare different workloads of employees i.e Part time…

Q: 4. Your firm is evaluating a project that should generate revenue of P4,600 in year 1, P5,200 in…

A: In this question, we need to calculate the future value of each year's revenue at the required…

Q: Consider the following three bonds: Bond P Bond Q Bond R $1,000 $1,000 $1,000 Par Value Coupon Rate…

A: Given, Three bonds Bond P, Bond Q and Bond R

Q: PR, compounded daily, is needed to grow a present value of $250 to $500

A: The APR is annual percentage in this nominal interest rate is considered and this is not effective…

Q: FedEx Corp. stock ended the previous year at $103.39 per share. It paid a $0.35 per share dividend…

A: The question is related to the return. Return is calculated with the help of following formula…

Q: For numbers 1 to 3, calculate the simple interest earned. Round to the nearest centavo. 1. P = Php…

A: Present Value:  The present value is the value of cash flow stream or the fixed lump sum amount at…

Q: The Lewin Inc. has issued 60,000 bonds with an 8% coupon rate and a quoted price of 110; the bonds…

A: Given: Particulars Amount Face value(FV) $1,000 Years(NPER) 30 Quoted price 110% Coupon…

Q: If you have a portfolio made up of 30 percent Yum Brands, 30 percent Raytheon, and 40 percent…

A: return of Portfolio = wA * rA + wB * rB+ wC * rC   wA = 3.8% = 0.038 rA = 30%

Q: 4. X generator has a first cost of $20,000, AOC of $15,000, and 5 of $5000 after 4 years. Y…

A: First, we will calculate the Annual worth using the formula, thereafter we will calculate the…

Q: What APR, compounded annually, is needed to grow a present value of $250 to $500 over 6 years?

A: Annual percentage rate: It is the rate that shows total annual cost of the loan , Annual Cost…

Q: how much would he need to invest today?

A: Present Value: It represents the present value of the future sum of the amount and is computed by…

Q: An application for an individual Disability Income policy may require all of he following…

A: Disability income policy is an insurance policy which protects the insured against loss of monthly…

Q: Bluestone Ltd has provided the following figures for two investment projects, only one of which may…

A: Year Project A Project B Initial outlay 0  £         1,90,000.00  £         1,70,000.00 Profit…

Q: On July 3, Sherri signed a 3-month, $12,000 simple interest loan earning . Find the maturity date,…

A: Given, The loan amount is $12,000 Term is 3 months Interest is 12.5%

Q: Given: 27,000 shares cumulative preferred stock ($5.25 dividend per share): 54,000 shares common…

A: Solution:- Dividend is the amount of return granted to shareholders of a company.

Q: A company's 5-year bonds are yielding 8% per year. Treasury bonds with the same maturity are…

A: Data given: Yield= 8% per year Risk free rate= 2.15% Average inflation premium=1.65% Maturity risk…

Q: A firm has $26000 in an account in order to finance a $32000 expenditure in 2 years.  What minimum…

A: Current Value is $26000 Future Value of expenditure is $32000 Time period is 2 years To Find: APR,…

Q: The following type of marketing involves sending out mails, fiers, testers, and DVDs to consumers?…

A: Direct-response marketing : It is the type of marketing where the prospect is directly encouraged to…

Q: A project with a 3-year life has a payback period of 2.51 years and an NPV of -$183 using a discount…

A: IRR is the internal rate of return. It is that rate at which NPV has to be nil.

Q: Select one down payment present value of penodic payments b down payment number of payments times…

A: When you buy the property than you have to pay some money as down payment and remaining amount as…

Q: 2 DOC just paid a dividend of $.46 a share. The dividends are expected to increase by 30 percent a…

A: The question is related to the Dividend Discount model. The Price of the share will be calculated…

Q: Consider two 30-year bonds with the same purchase price. Each has an annual coupon rate of 5% paid…

A: Here, Time To Maturity of both Bonds is 30 years Coupon Rate of Both Bonds is 5% Par Value of Both…

Q: Which one of the following statements is correct? The dividend growth model can be used to compute…

A: In finance we often use the dividend growth model to value stocks. The model is based on the premise…

Q: A company considering water flooding plan for one its small oil field, the chances of success is as…

A: Capital Budgeting is a concept that is used to evaluate the most effective investment by comparing…

Q: Suppose withdrawals of 10,000 every year starting at time 8 will be made and will go on forever. How…

A: Here we will use the concept of time value of money. As per the concept of time value of money worth…

Q: Jaleel knows that the primary purpose of a futures contract is the management ofrisk exposures. Use…

A: Future contract:  A futures contract is legitimately official consent to buy or sell a particular…

Q: An investor owns $3,000 of Adobe Systems stock, $6,000 of Dow Chemical, and $7,000 of Office Depot.…

A: Weight  are the proportion of individual security to total investment in portfolio. It is calculated…

Q: Should a company's chief financial officer own a large amount of common stock in the company? What…

A: Chief financial officer also known as CFO is the senior executive responsible regarding the…

Q: Property worth $77,490.00 can be purchased for 10% down and mortgage payments of $1355.00 at the end…

A: Solution:- When a loan is taken, it can either be repaid as lump sum payment or in instalments. When…

Q: 1. You deposited $1000 into a savings plan at the end of each year for 3 years. The rathe is 8% per…

A: Principal Amount,P = $1,000 Interest Rate,I = 8% = 0.08 Number of years, N= 3 years Future Value of…

Q: You are evaluating a project for a superior pickleball paddle.  You estimate the sales price to be…

A: NPV It is a capital budgeting tool to decide on whether the capital project is beneficial for the…

Q: Danny and Julie, a married couple, decided to sell their community property home in a community…

A: If the property is sold by the married couple jointly and out of the proceeds the new property is…

Q: An investor owns $6,000 of Adobe Systems stock, $5,000 of Dow Chemical, and $5,000 of Office Depot.…

A: Weights are the proportion of amount invsted in each investment out of total amount invested in…

Q: Charter Enterprises currently has $1.5 million in total assets and is totally equity financed. It is…

A: The capital structure of the company generally consists of some portion of debt and a balanced…

Q: If the interest rate is 8% per year, compounded annually, how much money should the company set…

A: Present value (PV) of money refers to the current price of any future sum of money or streams of…

Q: is considering purchasing equipment that will reduce costs by P40,000. The equipment costs P300,000…

A: In the future worth method we find out the future value of cost and benefits and see whether they…

Q: scenario forecast, the annual sales volume is 36,300 units, while the sale price is $115 per unit…

A: The Net Present Value is the excess of Present Value of Cash Inflow over Present Value of Cash…

Q: es: $100 at end of year 2, $200 at end of of year 6, and $600 at end of year 7. flows by using only…

A: Present value is equivalent value of cash flow today which is equivalent to future cash flow…

Q: 8 A bond with 10 years until maturity, an 8% coupon, and an 8% yield to maturity increased in price…

A: A bond is a debt instrument that is used by an institution to raise capital. It pays periodic…

Q: Carefully explain the cross-sectional test of the CAPM.

A: The Capital Asset Pricing Model (CAPM) is a mathematical model that describes the relationship…

Q: In its first year of operations, maria Corp earned 48100 in service revenue. On that amount 8200 was…

A: a) Calculation of Income under Accrual Basis of Accounting  Revenue           48,100  Various…

Q: You owe the bank $1,245 in 9 months.  How much do you need to deposit in an account today, earning…

A: The concept of the time value of money states that the same amount is worth more today than in the…

Q: Cameron is saving for his retirement 22 years from now by setting up a savings plan. He has set up a…

A: Time period till retirement is 22 years Quarterly saving of $97.00 Time period of saving is 12 years…