Your grandfather remaining you an inheritance that provides an annual income for another 10 years. 3,000. Every year after that, the payment amount increase by 6 percent. Today when you can earn 9 What is your inheritance well worth to you.5 percent on your investments? Learning Objective: 06-02 How loan payments are determined and how to find the interest on a loan.
You just won a national sweepstakes! For your prize, you opted to receive never-ending payments. 12,yr from today 500 and you will be paid one. Year thereafter Every, the payments will increase by 3.5 percent annually. What’s the present value of your prize at a discount rate of 8 percent? Learning Objective: 06-02 How loan obligations are computed and how to find the interest rate on financing.
A wealthy benefactor just donated some money to the local college. This gift was founded to provide scholarships for worthy students. 35,000. Thereafter Annually, the scholarship amount shall be increased by 5.5 percent to help offset the effects of inflation. The scholarship fund will indefinitely last. Today at a discount rate of 9 percent What is the value of this gift? Learning Objective: 06-02 How loan payments are calculated and how to find the interest on a loan. Southern Tours is considering acquiring Holiday Vacations.
- The customer discovers what they want as we go
- Should you be estimating top down, bottom up or somewhere in between
- Data Quality
- 7 years back from Idaho
- Help with being able to access market information and the introduction of marketing programs
245,000 over the next 3 years, respectively. After that time, they feel the business will be worthless. Southern Tours has determined that a 13.5 percent rate of return is applicable to the potential acquisition. Today to acquire Holiday Holidays What’s Southern Trips ready to pay? Learning Objective: 06-01 How to determine the future and present value of investments with multiple cash flows.
You are thinking about two cost savings options. Both options provide a 7.4 percent rate of come back. 3,000 by the end of each yr for the next three years, respectively. Today The other option is to save lots of one lump amount amount. Learning Objective: 06-01 How exactly to determine the near future and present value of investments with multiple cash flows.
Your parents have made you two offers. 12,000 at the ultimate end of every of the next three years, respectively. Today The other offer is the payment of one lump amount amount. You want to decide which offer to accept given the fact that your discount rate is 8 percent.
What is the minimum amount that you will accept today if you are to select the lump sum offer? Learning Objective: 06-01 How to determine the near future and present value of investments with multiple cash flows. You are considering changing jobs. Your goal is to work for 3 years and then return to school full-time in pursuit of an advanced level.
46,a year for the next 3 years 000, respectively. Of each year All salary payments are made as lump sum obligations at the end. 3,000 payable immediately. Today at a discount rate of 6 What is this offer worth for you.75 percent? Learning Objective: 06-01 How to determine the near future and present value of purchases with multiple cash moves. 8,000 at the end of each calendar year for another three years, respectively. What is today’s value of these cash moves, given a 9 percent discount rate?