Ask Question, Ask an Expert

+1-415-315-9853

info@mywordsolution.com

Ask Basic Finance Expert

problem1:  Elizabeth has $35,000 in an investment account, but she wants the account to grow to $100,000 in ten years without creating any additional contributions to the account. find out the effective annual rate of interest.

[A] 10.23%

[B] 8.65%

[C] 12.32%

[D] 9.03%

[E] 11.07%

problem2: McGwire Company's pension fund projects that most of its employees will take benefits of an early retirement program the company plans to offer in five (5) years. Anticipating the need to fund these pensions, the company bought zero coupon U.S. Treasury Trust Certificates maturing in five (5) years. When these instruments were originally issued, they were 12% coupon, thirty (30) year U.S. Treasury bonds. The stripped Treasuries are currently valued to yield 10%. Their total maturity value is $6,000,000. Determine their total cost price to McGwire today?

[A] $3,404,561

[B] $4,042,040

[C] $3,725,528

[D] $553,776

[E] $5,142,600

problem3: You are considering purchasing a new, 15,000 dollar car, & you have $2,000 to put toward a down payment. If you can negotiate a nominal yearly interest rate of 10% and finance the car over sixty (60) months, find out your monthly car installments?

[A] $276.21

[B] $285.78

[C] $318.71

[D] $216.67

[E] $252.34

Basic Finance, Finance

  • Category:- Basic Finance
  • Reference No.:- M919986

Have any Question? 


Related Questions in Basic Finance

In the presence process arsine and trimethylgallium vapors

In the presence process, arsine and trimethylgallium vapors are diluted in hydrogen gas and fed to the horizontal CVD reactor shown in Figure 30.2. The composition of arsine and trimethylgallium in the feed gas are both ...

1q norris co has developed an improved version of its most

1Q. Norris Co. has developed an improved version of its most popular product. To get this improvement to the market, will cost $48 million and will return an additional $13.5 million for 5 years in net cash flows. The fi ...

1 commercial loan officers regard profitability financial

1. Commercial loan officers regard profitability financial ratios as very significant. Comment. 2. Which two financial ratios do commercial loan officers regard as the most significant? Which two financial ratios appear ...

Assume that you are the manager of a financially distressed

Assume that you are the manager of a financially distressed corporation, with $1.5 million in debt outstanding, which will mature in two months. Your firm currently has $1 million cash on hand. Assuming that you are oper ...

1 describe in your own words the techniques that scientists

1. Describe in your own words the techniques that scientists use to help them avoid drawing statistically invalid conclusions. 2. What is a statistically significant result? What is the relationship among statistical sig ...

1 researchers who use group designs replicate their

1. Researchers who use group designs replicate their findings by repeating the same (or a similar) experiment on other samples of participants. How do single-case researchers replicate their findings? 2. What is the rati ...

1 what is a mortgage pay-through bond mptb how does it

1. What is a mortgage pay-through bond (MPTB)? How does it resemble a mortgage-backed bond (MBB)? How does it differ? 2. Are the overcollateralization requirements for mortgage pay-through bonds the same as for mortgage- ...

What factors would determine whether a particular strategy

What factors would determine whether a particular strategy is a hedge or a speculative strategy? How are spread and arbitrage strategies forms of speculation? How can they be interpreted as hedges? What are the differenc ...

1 steps in buying a home what is your first task when

1. Steps in Buying a Home. What is your first task when considering buying a home? Why is this step important? How can a real estate broker help you? 2. Purchasing a Home. What are the two financial components you must c ...

1 why is specialization so critical to distribution

1. Why is specialization so critical to distribution efficiency? 2. Describe how the process of assortment overcomes the problems created by specialization. 3. Given the principle of minimum transactions, explain why it ...

  • 4,153,160 Questions Asked
  • 13,132 Experts
  • 2,558,936 Questions Answered

Ask Experts for help!!

Looking for Assignment Help?

Start excelling in your Courses, Get help with Assignment

Write us your full requirement for evaluation and you will receive response within 20 minutes turnaround time.

Ask Now Help with Problems, Get a Best Answer

Section onea in an atwood machine suppose two objects of

SECTION ONE (a) In an Atwood Machine, suppose two objects of unequal mass are hung vertically over a frictionless

Part 1you work in hr for a company that operates a factory

Part 1: You work in HR for a company that operates a factory manufacturing fiberglass. There are several hundred empl

Details on advanced accounting paperthis paper is intended

DETAILS ON ADVANCED ACCOUNTING PAPER This paper is intended for students to apply the theoretical knowledge around ac

Create a provider database and related reports and queries

Create a provider database and related reports and queries to capture contact information for potential PC component pro

Describe what you learned about the impact of economic

Describe what you learned about the impact of economic, social, and demographic trends affecting the US labor environmen