Question

Jane will receive a weekly payment of $239 for the next 9
years, starting today. If the rate of interest is 3.04% p.a., what
is the present value of this annuity

Please give your solution correct to 2 decimal places

Answer #1

You
receive $100 per year for the next 10 years starting 1 year from
today for a total of 10 payments. If the interest rate that you
receive is 5% per year and the inflation rate is 3% per year, draw
the cash flow diagram in constant dollars with a base year of 0.
Solve for the future value at year 10 using constant dollar
analysis.

You receive $100 per year for the next 10 years starting 1 year
from today for a total of 10 payments. If the interest rate that
you receive is 5% per year and the inflation rate is 3% per year,
draw the cash flow diagram in constant dollars with a base year of
0. Solve for the future value at year 10 using constant dollar
analysis.

Carrie Tune will
receive $18,250 a year for the next 19 years as payment for a song
she has just written. If a present 8 percent discount rate is
applied: Use Appendix D. (Round "PV Factor" to 3 decimal
places. Round the final answers to the nearest whole
dollar.)
a-1.
Calculate the present value.
Present
value $
a-2.
Should she be willing to sell out her future rights now for
$161,000?
No
Yes
b-1.
Calculate the present value if the payments...

carrie tune will receive $30,250 for the next 12 years as a payment
for a new song she has written. use appendix D for an approximate
answer, but calculate your final answer using the formula and
financial calculator methods.
A. what is the present value of these payments if the discount
rate is 11 percent? (round to 2 decimal places)?
B. should she be willing to sell out her future rights now for
$190,000?

1. Sherwin Williams will earn $18,500 a year for the next 19
years for a picture he has painted. At an interest rate of 12
percent, how much are the earnings worth today? (Enter your
answer as a positive number rounded to 2 decimal
places.)
2.You just won the $44 million lottery. You will receive $1.3
million a year for the next 25 years plus an additional payment of
$11.5 million at the end of 25 years. The interest rate...

Suppose that an investment opportunity has a cost today of
$100,000. You will receive a payment of $30,000 one year from
today. You will receive a payment of $60,000 two years from today.
You will receive a payment of $50,000 three years from today.
Finally, you will have to pay $10,000 to dispose of the asset four
years from today. What is the net present value of the costs and
benefits if the interest rate is 10%?

Phil Dunphy wants to receive a 25-year annuity of $40,000 annual
payments. The first $40,000 payment is exactly one year from today
and the last (25th) payment is exactly 25 years from today. The
annual interest rate is 7.5% per year. Calculate the Present Value
today (t=0) of this annuity.

Suppose you receive ?$130 at the end of each year for the next
three years.
a. If the interest rate is 7%?, what is the
present value of these cash? flows?
b. What is the future value in three years of
the present value you computed in ?(a?)?
c. Suppose you deposit the cash flows in a bank
account that pays 7 % interest per year. What is the balance in the
account at the end of each of the...

Bridget Jones has a contract In which she will receive
the following payment for the next five years: $20,000, $22,000,
$23,000, and $24,000. she will then receive an annuity of $26,000 a
year from the end of the 6th through the end of the 15th year. the
appropriate discount rate is 10 percent.
What is the present value oa all future payments.

You want to receive $50,000 five years from today and a
retirement annuity of $100,000 per year for 25 years with the first
payment 10 years from today. To pay for this, you will make 5
payments of A per year beginning today and 10 annual payments of A
with the first payment 8 years from today. With an interest rate of
8%, what is the value for A?

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