rate

Q: A state lottery commission pays the winner of the "Million Dollar" lottery 20 annual installments of...

A: Given:

Q: Monthly payments are to be made against an $850,000 loan at 7.25% compounded annually with a 15-year...

A: Note: As per Bartleby guidelines, only the first 3 subparts can be solved. Please post any other que...

Q: 1. Extenal auditors should consider the work of internal auditors in their assessment of control ris...

A: Auditing is the process of inspection of various books of accounts. It is done for accuracy of finan...

Q: As part of your retirement plan, you have decided to deposit $6,000 at the beginning of each year in...

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts fo...

Q: Q 1

A: Answer a. Times interest earned = EBITDA of all companiestotal of interest expense of all companies ...

Q: You want to be able to withdraw $4500 from an account at the end of each 6-month period (that is, tw...

A: Using Excel PV function

Q: Vapor Lock Motors’ EBIT is $7,000,000, the company’s interest expense is $2,000,000,and its tax rate...

A: DFL means how much the earnings of a firm change due to change in the debt-equity ratio of the firm....

Q: Vermex bonds currently sell for 975 Rupees which has got 7 years’ maturity with a 12 percent annual ...

A: Given:

Q: A company is considering an investment of $460,000 in a non-current asset expected to generate subst...

A: The investment = $460,000 Cost of capital = 5%  Terminal Value = $40,000

Q: Dynamic   World   Vista   Industries (DWVI) wishes   to  estimate   its  cost  of  capital   for  us...

A: Corporation Bonds =30% Cost of bonds =8.3% Loan =10% Cost of loans =5% Preference shares =10% Cost o...

Q: It costs $30,000 to retrofit the gasoline pumps at a certain filling station so the pumps can dispen...

A: A discounted payback period is the time period in which a project will pay back its investment from ...

Q: You have the opportunity to make an investment that costs $1.000,000. If you make this investment no...

A: Calculate the Present value of the investment.

Q: Homer is 65 years old and ready to retire. He has $200,000 in a 401k at retirement account. Accordin...

A: Retirement amount =$200000 401 K 

Q: NPV—Mutually exclusive projects   Hook Industries is considering the replacement of one of its old m...

A: Net present value is the technique used in capital budgeting to evaluate the acceptability of the pr...

Q: Suppose the riskless return is 4½% and the factor sensitivities and factor return premiums for BioTh...

A: Required returns = Rik less Return + (Factor Sensitivity * Expected Factor Return Premiums)   

Q: Suppose you bought a stock for $22.7 per share and then sold it for $14.7 per share.  In the mean ti...

A: Given: Purchase price = $22.7 Selling price = $14.7 Dividend = $1

Q: You have $4,000 on a credit card that charges a 14% interest rate. If you want to pay off the credit...

A: Using excel PMT function 

Q: In terms of paying less in​ interest, which is more economical for a ​$90,000​mortgage: a​ 30-year f...

A: A written agreement through which a lender gets the right to take the property that is put as a secu...

Q: Note: Round all answers to the nearest cent when necessary. Calculate the amount financed, the finan...

A: Installment is the amount of periodic payments a borrower pay's to the lender in order to pay back h...

Q: Please help me answer the following time value of money question. If Hollie deposits $5000 in an acc...

A: Given data; Present value = $5000 interest rate = 3.5% compounded annually number of years = 19

Q: Please help me answer the following time value of money question. Suppose Nicole deposits $50,000 in...

A: Given data; Present value = $50,000 interest rate =9% future value = $ 125,000

Q: Use factors and a spreadsheet to determine the interest rate per period from the following equation:...

A: IRR is the interest rate at which project Net present value is equal to zero.

Q: Hello Can you show how this is done, the second picture is the solution. There is a equation with tw...

A: Let us assume RP1=PRP2=Q expected return =rf+beta on F1×RP1+beta on F2×RP2=rf+beta on F1×P+beta on F...

Q: You are given the following table of spot rates: Year Spot rates 1 3.5% 3.8% 3 4.6% 4 5.1% Ant and D...

A: Working note:

Q: The current price on a common stick is $30/share and its volatility is 25%. The call option for this...

A: A financial instrument that provides the opportunity to the buyer to purchase the underlying assets ...

Q: Which one of the following choice is not one of the ways to transfer savings to those in needs of fu...

A: Person to person lending is not a way to tarnsfer savings form those who needs funds.

Q: Black Lung Mining is considering opening a new coal mine. Black Lung’s beta is 0.8.Black Lung paid $...

A: Cost which are already incurred will not form part of decision making. Example feasibility cost and ...

Q: A partial payment is made on the date indicated. Use the United States rule to determine the balance...

A: Here, Principal Amount is $4,000 Interest Rate is 5% Effective Date is April 1 Partial Payment made ...

Q: If a stock is selling for $90 and is split 3 for 1, the new price of the stock should be $30. ...

A: Before split : 1 Shares * 90 = 90 After split : 3 shares * 30 = 90 Therefore the answer is true

Q: Car cost 9000; 1000 down payment; need a loan of 8000; auto financing calculates interest for the li...

A: APR = Annual Percentage Rate  

Q: As a potential investor in a firm or perhaps the buyer of a particular business, would it be advisab...

A: Financial Statements are documents which contains all the material information related to the operat...

Q: John and Chelsea decide they would like to buy furniture. They choose items that amount to $5600.00...

A: Since you have posted a question with multiple sub-parts, we will solve the first three sub-parts fo...

Q: Help me fast so that I will give Upvote....

A: Maturity Value = Principal * (1+r)^nWhere,r =raten =time Principal = Maturity Value/ (1+r)^nWhere,r ...

Q: You are given the following information about BioWow Ethanol: common stockholders’equity = $4 billio...

A: Given information: Common stockholders’ equity is $4 billion, Price earnings ratio is 3.5 Common sha...

Q: Please help me answer the following time value of money question. Tanya wants to be able to withdraw...

A: Present value is the value of future cashflow discounted to present date at specified rate. formula:...

Q: 23-4: Suppose venture capital firm GSB partners raised $50 million of committed capital. Each year o...

A: IRR or Internal rate of return is calculated on trial & error basis. IRR is the rate at which th...

Q: Jim sets up a retirement annuity in which he deposits $200 per month. The annuity pays 3% compounded...

A: Future value: The value of the asset at some future date which is computed using the assumed rate of...

Q: Stirling Windows Inc. of Hong Kong is considering purchasing an automated cutting machine for use in...

A: 1. Net annual savings can be calculated as follows: It would come out to be:

Q: Describe the four sources of funds for a business.

A: Corporations often need to raise external funding, or capital, in order to expand their businesses i...

Q: the current spot exchange rate is $1.85/£ and the three-month forward rate is $1.80/£. Based on your...

A: Current spot rate =1.85 Three months forward rate =1.8

Q: State five reasons why the concept of time of value of money is very important?

A: Time value of money is the concept of money that a person have now is worth more than future due to ...

Q: Grandma gave you 600 for your graduation. You deposit it into an account that earns 4% annually. How...

A: Given:Principal amount (P)=600Rate of interest (r) =4% annually.It is assumed that the interest is c...

Q: 1. (True or false) Suppose I invested $10,000 in stock A 20 years ago and held that investment (rein...

A: Future value is the value of a current asset in future. The value of an asset grows overtime. 

Stock Yields

The stock yield is otherwise known as the dividend yield. The dividend yield is an annual payment of the stock dividends to the holder of a firm’s stock. The dividend yield is a financial ratio to measure the value of dividend payout every year for the relative stock price. The yield of a stock is usually shown in a percentage that discloses the expected future earnings from stock depending on the current stock price in the future. Stock yield will change depending on the market fluctuations and in accordance with the market fluctuations, the dividends will be increased or decreased by the firm.