Question

Bridget Jones has a contract In which she will receive the following payment for the next...

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.

Business   Finance   
0 0
Add a commentTranscribed image text
Next >

Homework Answers

Answer #1

0 0
Know the answer?
Your Answer:

Post as a guest

Your Name:

What's your source?

Earn Coins

Coins can be redeemed for fabulous gifts.

Log In

Sign Up

Not the answer you're looking for?
Ask your own homework help question
Similar Questions
Bridget Jones has a contract in which she will receive the following payments for the next...
Bridget Jones has a contract in which she will receive the following payments for the next five years: $8,000, $9,000, $10,000, $11,000, and $12,000. She will then receive an annuity of $14,000 a year from the end of the 6th through the end of the 15th year. The appropriate discount rate is 13 percent. a. What is the present value of all future payments?
Bridget Jones has a contract in which she will receive the following payments for the next...
Bridget Jones has a contract in which she will receive the following payments for the next five years: $17,000, $18,000, $19,000, $20,000, $21,000. She will then receive an annuity of $24,500 a year from the end of the sixth year through the end of the 15th year. The appropriate discount rate is 18 percent. a. What is the present value of all future payments?
Betty Kay has a contract in which she will receive the following payment for the next...
Betty Kay has a contract in which she will receive the following payment for the next 5 year: $1,000, $2,000, $3,000, $4,000 and $5,000. She will then receive an annuity of $8,500 a year for the end of the 6th through the end of the 15th year. She is offered $30,000 to cancel the contract. If the payments are discounted at 14 percent should she cancel the contract? Show all workings. Please work using the Financial Calculator
Betty Kay has a contract under which she will receive the following payment for the next...
Betty Kay has a contract under which she will receive the following payment for the next 5 years: $1,000, $2,000, $3,000, $4,000 and $5,000. She will then receive an annuity of $8,500 a year for the end of the 6th through the end of the 15th year. She is offered $30,000 to cancel the contract. If the payments are discounted at 14 percent should she cancel the contract? Show all workings
Del Monty will receive the following payments at the end of the next three years: $23,000,...
Del Monty will receive the following payments at the end of the next three years: $23,000, $26,000, and $28,000. Then from the end of the fourth year through the end of the tenth year, he will receive an annuity of $29,000 per year. At a discount rate of 10 percent, what is the present value of these future benefits? (
Del Monty will receive the following payments at the end of the next three years: $24,000,...
Del Monty will receive the following payments at the end of the next three years: $24,000, $27,000, and $29,000. Then from the end of the 4th year through the end of the 10th year, he will receive an annuity of $30,000 per year. At a discount rate of 16 percent, what is the present value of all three future benefits?
Dusty Wallace will receive $8,000 and $9,000 at the end of the next two years respectively....
Dusty Wallace will receive $8,000 and $9,000 at the end of the next two years respectively. Then from the end of the third year through the end of the tenth year, he will receive an annuity of $10,000. At a discount rate of 8% what is the present value of all future benefits? (10)
Carrie Tune will receive $18,250 a year for the next 19 years as payment for a...
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...
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?
You are entering into a contract that will provide you with an income of $1,000 at...
You are entering into a contract that will provide you with an income of $1,000 at the end of the year for the next 10 years. If the annual interest rate is 7%, what is the present value of the stream of payments (ordinary annuity)? What is the future value if the payment is withdrawn at the beginning of each year (annuity due)?
ADVERTISEMENT
Need Online Homework Help?

Get Answers For Free
Most questions answered within 1 hours.

Ask a Question
ADVERTISEMENT