Homework Help Global logo
  • Home
  • Coursework Help
  • Dissertation Help
  • Homework Help
  • My account
  • Order now
Order Now
Homework Help

What is the present value of $40,000 received 4 years from now if the

2 min read
Posted on 
March 11th, 2023
Home Homework Help What is the present value of $40,000 received 4 years from now if the

Single Sums:

 

1.       What is the present value of $40,000 received 4 years from now if the relevant discount rate is 2 percent?

 

2.       What yield is needed for $6,000 today to be worth $12,000 ten years from today?

 

3.       How many years will it take for $100,000 today to be worth $200,000 if the investment is expected to yield 6 percent?

 

4.       What is the future value 30 years from now of $5,500 invested today with an expected return of 7 percent?

 

Annuities:

 

5.       What is the value today of a payment stream of $350/month paid for the next 5 years (60 months) with the first payment a month from now if the relevant discount rate is 4 percent?

 

6.       What is the future value of a payment stream of $5,000/year  invested in a Traditional IRA at an expected return of 8 percent for 30 years? The first investment is made at the end of the year.

 

7.       What is the future value of the payment stream in question 6 if the payment is made at the beginning of each year.

 

8.       What is the present value of a payment stream of $10,000 paid semiannually for four years if the relevant discount rate is 2 percent?  The first payment is six months from now.

 

NPV/IRR/MIRR:

 

Given the following cash flow stream for an investment by a firm,  and a discount rate of 8 percent,  what is the:

 

9.       Net Present Value (NPV)

 

10.   Internal Rate of Return (IRR)

 

11.   Modified Internal Rate of Return (MIRR) when the reinvestment rate is 6 percent.

 

12.   Under which evaluation method(s) will the firm accept the project?

 

Year

Cash Flow

0

 $       (250,000)

1

 $            30,000

2

 $            40,000

3

 $            50,000

4

 $            60,000

5

 $            50,000

6

 $            40,000

7

 $            40,000

8

 $            30,000

9

 $            25,000

10

 $            15,000

 

 

 

Effective Yields, Nominal Yields & Annual Percentage Rates:

 

13.   What is the effective annual yield on a CD that pays a nominal rate of 2 percent but has interest compounded:

 

a.       daily

 

b.      weekly

 

c.       monthly

 

d.      quarterly

 

e.      semiannually

 

14.    What is the nominal rate of a CD with an effective rate of 3.12% with interest compounding daily?

 

15.   What is the APR of a credit card with a 20 day payment cycle and a periodic rate of 1%?

 

Order an Essay Now & Get These Features For Free:

Turnitin Report

Formatting

Title Page

Citation

Outline

Place an Order
Share
Tweet
Share
Tweet
Calculate the price
Pages (275 words)
$0.00
Homework Help Global
Company
  • Coursework Help
  • Law Homework Help
  • Business Paper Help
  • Thesis Writing Help
Legal
  • Dissertation Help
  • Homework Help
  • Essay Writing
  • Custom Writing
How Our Service is Used:
Homework Help Global essays are NOT intended to be forwarded as finalized work as it is only strictly meant to be used for research and study purposes. Homework Help Global does not endorse or condone any type of plagiarism.
Subscribe
No Spam
© 2023 Homework Help Global. All rights reserved.
Homework Help Global will be listed as ‘Homework Help Global’ on your bank statement.